Telstra on Monday released the prospectus which will start the ball rolling towards the Australian carrier’s privatisation.

The government plans to sell A$8bn (£3.2bn) of shares or about one third of its 51.8 per cent stake in the company, although the size of the offering could be increased by up to 15 per cent, depending on demand.

The retail offer will be open between October 23 and November 9, with shares priced at A$2 each, while the institutional offer will open between November 15 and November 17, with shares priced at A$2.10.

However, the prospectus painted a dark picture of the carrier’s risks and ongoing battles with the country’s regulator.

Telstra chief executive Sol Trujillo has been at loggerheads with the authorities of late and this is reflected in the government’s risk assessment.

“Telstra operates in a highly regulated environment that significantly affects its business. In particular, Telstra believes regulation can limit Telstra’s ability to pursue certain business opportunities and the returns it can generate for its shareholders,” the prospectus reads.

“Telstra believes the current regulatory regime is value destroying. However, Telstra is committed to seeking regulatory reform on behalf of its shareholders. Telstra faces substantial regulatory risks that it believes have, and will continue to have, substantial adverse effects on its business,” the document said.