Global asset management company Brookfield will buy Reliance Communications’ (RcomNSE 8.86 %’s) real estate assets in New Delhi and Chennai for some Rs800 crore.
The Anil Ambani owned telecom operator in a statement on Wednesday said that its asset sale, which was given a go-ahead by National Company Law Appellate Tribunal (NCLAT), will be for a total of Rs 18,100 crore.
“RCom’s asset sale to Reliance Jio and Brookfield for an aggregate value of Rs 18,100 crore has been allowed to proceed by the Hon’ble NCLAT. The assets sale includes spectrum, fiber, telecom towers, MCNs and certain real estate assets in Delhi and Chennai,” said the operator in its statement.
The telco on Wednesday settled its eight-month dispute with Swedish telecom equipment maker Ericsson, over unpaid dues for Rs 550 crore. This will be a huge relief to the operator which will now be able to exit the insolvency proceedings and sell its wireless assets to Reliance Jio and repay lenders.
Rcom expects to complete the sale of its assets “within the next few weeks” now that its legal disputes with Ericsson and minority shareholders of Reliance Infratel are resolved.
The operator sealed a pact with minority shareholders of its tower unit -Reliance Infratel on Tuesday by agreeing to pay them Rs 232 crore.
The Ambani owned company stated that these steps will help in “achieving an overall debt reduction of approximately Rs 25,000 crore from the first phase of its asset monetisation program…”
The NCLAT on Wednesday, stayed orders of the dedicated bankruptcy court which had admitted insolvency petition against RCom and its units Reliance Infratel and Reliance Telecom by Ericsson.
Source: Economic Times