RCom Expecting Rs 25,000 Crore Assets Sale by August End

Reliance Communications (RCom), the Anil Ambani-led company is now expecting to complete the sale of its business assets worth Rs 25,000 crore by the end of this month. At the same time, the debt-ridden telco has agreed to pay Rs 550 crore towards the settlement to telecom gear-maker Ericsson by the end of September. RCom, in a regulatory filing, said that it has “agreed to pay a settlement amount of Rs 550 crore to Ericsson on or before September 30, 2018”. The Supreme Court of India on August 3 approved the settlement arrived at between RCom and Ericsson India over a payment dispute and asked the Anil Ambani-led firm to pay Rs 550 crore to the Indian arm of Swedish firm by September 30.

Reliance

Ericsson India, which had signed a seven-year deal in 2014 to operate and manage RCom’s nationwide telecom network, had alleged that it had not been paid the dues of over Rs 1,500 crore and challenged the debt-ridden firm before National Company Law Appellate Tribunal (NCLAT).

A Supreme Court bench perused the May 30 interim order of the NCLAT and noted that Ericsson India was willing to settle its debt of over Rs 1,500 crore for a sum of Rs 550 crore which was to be paid by RCom within 120 days.

The apex court on August 3 allowed RCom to sell assets covering spectrum, fibre, telecom towers, MCNs and certain real estate assets, for an aggregate value of approximately Rs 25,000 crore.

“The company expects to complete all these transactions by the end the month, August 2018, thereby accelerating its overall debt resolution plan,” RCom said.

RCom has entered into an agreement with Mukesh Ambani-led Reliance Jio and asset management firm Brookfield to sell telecom business assets for Rs 18,000 crore. The deal, which was announced way back in December 2017, faced many hurdles until now. But RCom is now allowed to sell its assets to Jio, after the Supreme Court permission on August 3.

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Nikhil Mumbai-PuneKirit Patel (Ahmedabad)EsmailVipin (Mumbai)Siddu Recent comment authors
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Kirit Patel (Ahmedabad)
Kirit Patel (Ahmedabad)

See the attached image for details of available spectrum 1800 MHz after surrender spectrum by Aircel.

Please note that TRAI will put Aircel spectrum for auction in next auction

SnipImage.JPG
Nikhil Mumbai-Pune
Nikhil Mumbai-Pune

Are you sure?

Kirit Patel (Ahmedabad)
Kirit Patel (Ahmedabad)

Yes you can see on TRAI website

Nikhil Mumbai-Pune
Nikhil Mumbai-Pune

Apart from this lots of spectrum available at Aircel in band 3. Trai site might have not updated.

Kirit Patel (Ahmedabad)
Kirit Patel (Ahmedabad)

Nikhil only Aircel surendered in six circle spectrum will be available in next auction

Nikhil Mumbai-Pune
Nikhil Mumbai-Pune

Ok. What about other spectrum?

Chetan Malhotra
Chetan Malhotra

Guys just for everybodirs info… Rcom has to complete all asset sale on or before 27th August as post that insolvency procedure will start again.. so we can expect rcom Jio deal to be completed before 27th….

Nikhil Mumbai-Pune
Nikhil Mumbai-Pune

+1

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