Tata Tele Maharashtra to Raise Additional Fund of Rs 20,000 Crore Through Debt

Debt-ridden telecom firm Tata Teleservices Maharashtra has now received its board’s approval to raise an additional fund of Rs 20,000 crore through debt instruments. “…the board of directors of the company at its meeting held on August 10, 2018, has approved raising of additional funds up to an aggregate amount of Rs 20,000 crore,” Tata Teleservices (Maharashtra) said in a regulatory note, as reported by PTI. The fundraising will be done either by issue of securities, instruments etc. including redeemable preference shares to promoters on preferential basis, non-convertible debentures or inter-corporate deposit or loans from the promoters or other entities.

tata-tele-maharashtra

The parent firm of the company Tata Teleservices (TTSL) has dues of around Rs 10,000 crore pending to be paid to the telecom department. TTSL is in the process of merging its mobile service business with Bharti Airtel and will need to clear dues before the DoT takes merger on record.

Tata Tele Maharashtra Posted Losses in Q1 FY18

TTML posted narrowing of total comprehensive loss to Rs 454.46 crore for the three months ended June 30, 2018, from Rs 681.26 crore in the March quarter and Rs 506.04 crore during the April-June previous fiscal.

The company, whose accumulated losses have exceeded its paid-up capital and reserves, had said in a regulatory filing that it had secured a support letter from the promoters, indicating their willingness to organise for any liquidity shortfall in meeting financial obligations and repayment of debt.

Tata Tele Merger With Bharti Airtel

TTML has obtained a support letter dated May 28, 2018, from its promoter indicating that the promoter will take necessary actions to organise for any shortfall in liquidity of the company that may arise to meet its financial obligations and timely repayment of debt.

Tata Teleservices is in discussions to monetise “certain assets”, proceeds of which will be used to meet its financial obligations when they fall due.

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38 Comments on "Tata Tele Maharashtra to Raise Additional Fund of Rs 20,000 Crore Through Debt"

 

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Idea88
August 12, 2018 9:32 pm 9:32 PM

Offtooic – how much and which band that Jio will utilise of rcom as SC allowed them to sale assets to Jio ???

Kaushik IMA
August 12, 2018 10:18 am 10:18 AM

Off topic: SD 652/653/650 devices will not be updated to Android P.

From qualcomm end only the devices with SD 625/450/626, SD 820/821, SD 42X/43X, SD 835/845 will get sources for Android P.

So oreo is last update for Samsung A9 Pro/C9 Pro users.

Kiran Fernandes | Goa
August 12, 2018 10:11 pm 10:11 PM

Hahahahahahaha good job Samsung 😀 😀

Nikhil Mumbai-Pune
August 12, 2018 8:05 pm 8:05 PM

Why this Kolavari Di? When snapdragon 425/435 getting updates for Android P and not for Snapdragon 650 ?

Kaushik IMA
August 13, 2018 1:49 am 1:49 AM

P. S. SD42x/43x also running 3.18 kernel. Forgot to mention earlier.

Kaushik IMA
August 13, 2018 1:48 am 1:48 AM
Because of Linux Kernel. 3.10 kernel now used only for SD810 and SD65X family along with SD61x. SD61x – no phone released recently, SD810 – Qualcomm dropped support early. Qualcomm wants to drop support for development of old kernel which is applicable only for very limited SOC range and few devices. 3.18 kernel has lots of SOC – SD450, 625, 626, SD 820/821 and lots of devices were released (still getting released) on these SOCs. So Qualcomm will support. It will be a miracle if ANY SD 652/653 device gets Android P. Even HTC dropped support for it’s recently launched… Read more »
Nikhil Mumbai-Pune
August 12, 2018 8:01 pm 8:01 PM

Oreo update will come to Samsung A9 Pro/C9 Pro users in January 2019.

Chetan Malhotra
August 11, 2018 8:04 pm 8:04 PM

Rcom signed further agreement to sell remaining spectrum in 850mhz today with jio. Announcement was made today. So all’s spectrum is going to jio now

Nikhil Mumbai-Pune
August 12, 2018 8:15 pm 8:15 PM

Most of the circles will get 10Mhz spectrum which will boost coverage. I hope Jio buys 5Mhz more somehow.It will boost coverage tremendously

saket kewate
August 12, 2018 2:50 pm 2:50 PM

This news is totally confusing.

Q1) 122Mhz belong to that part which got along with license, then liberalised and shared with jio
q2) 85Mhz belong to MTS ,which rcom has got last year

Can chetan/esmail clear this doubt?

August 12, 2018 3:15 pm 3:15 PM

Only 30 MHz is what Jio got from MTS and that is included in the 122 MHz that Jio signed an agreement with Rcom for last year and the sale of which began on Monday. This was all spectrum bought in auctions.
Now this new deal is only for 65 MHz of spectrum in 850 MHz band which Rcom had either got administratively and liberalised later or one that it bought in auctions.

Kiran Fernandes | Goa
August 11, 2018 11:42 pm 11:42 PM

But if the auctions are not this year, then Jio won’t be able to add much as Rcom barely had any spectrum in band 5 and all of it is less than 5MHz.

Chetan
August 12, 2018 8:29 am 8:29 AM

@kiran, not sure what has happened. Esmail has added 5Mhz of liberlrised spectrum in 850 mhz instead of 3.75 mhz after he updated chart yesterday. Now it shows 10 mhz after considering RCom spectrum in most region for jio

Kiran Fernandes | Goa
August 12, 2018 1:09 pm 1:09 PM

Oh thanks Chetan. Just checked. Yes Jio has added Rcom spectrum in 850MHz for all circles. Sad, there’s just 5MHz in Maharashtra. *cries in a corner*

Sunny | Lucknow
August 12, 2018 3:45 pm 3:45 PM

Don’t cry, we have 10 Mhz in band 5 here and still the speeds crawl at 1 Mbps all the time except at late nights.

Kiran Fernandes | Goa
August 13, 2018 12:16 am 12:16 AM

Yes but once there’s fiber backhaul and they add 4×4 MIMO to bands 3 and 5, then the speeds won’t crawl at all. Airtel is doing well in Delhi with 4×4 MIMO and users are barely complaining. There are plenty of complaints about Jio in the north, especially about slow speeds, and literally no complaints from Hyderabadis. One friend in Goa went to work in Hyderabad. Speeds are awesome there.

August 12, 2018 1:29 pm 1:29 PM

Don’t be sad, there is a good 7.5 MHz available for the next auction in both Maharashtra and Andhra Pradesh circles and Jio will most probably want to pick 5 MHz block in each of the two.

Kiran Fernandes | Goa
August 12, 2018 10:12 pm 10:12 PM

But I’ll probably have to wait a year for the auctions right? Nikhil said that the DoT isn’t conducting the spectrum auctions this year.

August 13, 2018 12:47 am 12:47 AM

Yes second half of 2019 seems to be the time when the next auction will be conducted.

saket kewate
August 12, 2018 2:52 pm 2:52 PM

yes very good hope.

But aution date itself is debate now.

Only option i see is JIO should buy Tata’s spectrum in both MH and AP spectrum from Airtel.

It can be deployed immediately and liberalised one.

August 12, 2018 3:23 pm 3:23 PM

Yes but deployment can happen in a block of either 5 MHz or 10 MHz nothing in between. So currently Jio has 5 MHz in both Maharashtra and AP, and even if it gets 2.5 MHz and 3.75 MHz of liberalised spectrum from Tata, that still doesn’t complete the 10 MHz needed for deployment. Auction is going to be very important for all operators next year.

Sunny | Lucknow
August 12, 2018 3:53 pm 3:53 PM

Any hope for band 3 in UPE after this deal? They’re stuck with 5 Mhz here, can Jio add anything more?!

August 12, 2018 5:31 pm 5:31 PM

Jio has 6.4 MHz in band 3 in UP East. Rcom only had 4.4 MHz administrative spectrum there which they surrendered to the government and Jio can buy it in the next auction.

Sunny | Lucknow
August 12, 2018 6:28 pm 6:28 PM

Okay thanks bro, guess we’ll have to wait for a while.

Nikhil Mumbai-Pune
August 11, 2018 10:34 pm 10:34 PM

What about other spectrum?

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