RCom shares zoom nearly 32% on debt reduction plan

Play Slideshow

RCom had close to Rs 45,000 crore debt on its books in October 2017, Ambani said.

He said the deal involved an eight-stage asset monetisation process under an oversight committee headed by former RBI deputy governor S S Mundra with members from Trai and the whole process will be completed in 40 days flat.

RCom will be able to reduce debts by INR 25,000 crore through prepayment, he said. Crippled Reliance Communications (RCom) announced yet another debt revival plan today claiming full debt resolution by March but without involving any conversion of debt into equity and exiting the SDR framework, apart from coming on-board of a strategic investor.

"Saying that going forward Reliance Communications will be a business-to-business (B2B) company, he added the company achieved this debt restructuring by asset monetisation and selling real estate". During the day, it zoomed 41 per cent to Rs 23.

The stock of RCOM has been on the rise since last week after there were rumours that Mukesh Ambani would be buying the assets of Anil Ambani's RCOM.

Embattled telecom company Reliance Communications Ltd faced another setback on. RCom has already made a decision to shut its 2G wireless business and merge its 4G services with its enterprise unit. The company's market valuation went up by Rs 1,388.88 crore to Rs 5,898.88 crore.

As part of the plan, the company had said it would raise Rs 33,000 crore through asset sales. The company's shares rose as much as 38 percent on the news.

Trouble mounted after shares of Reliance Communications fell below the agreed conversion price of Rs 24.71 per share.

In November, RCom defaulted on its outstanding United States dollar bonds - the first such default by an Indian company in 15 months.

Two major Chinese lenders plan to support a move by China Development Bank to.

In November, RCom sold its direct-to-home subsidiary, Reliance BIG TV, to Veecon Media and Television for an undisclosed amount.



Latest news

Union minister Hegde hints at amending Constitution to remove 'secular'
He has been slapped with cases for his "hate speeches", including one where he allegedly equated Islam with terrorism. The Constitution has changed many times before. "But trouble will arise if they say they are secular".

Protests as former Peruvian president pardoned over human rights crimes
Fujimori's goal was to run for Peru's presidency again in 2006, but instead he went to trial and was convicted of abuse of power. His daughter, Keiko Fujimori, narrowly lost Peru's last presidential election to Kuczynski, and her party dominates congress.

Cholera cases in Yemen reach 1 million as war continues — Red Cross
On Wednesday, it said it would keep the rebel-controlled port of Hodeidah open for 30 days to allow humanitarian deliveries to get into the country.

Details of Virat Kohli and Anushka Sharma's grand reception in Mumbai
It goes without saying that Mumbai reception of the couple will be attended by some renowned faces of the entertainment world. Will they or will they not? After these grand celebrations, Anushka will accompany Virat on the South Africa tour.

Oppo A75 & A75s with 6 inch display, unibody design launched in Taiwan
These phones are available only in Taiwan as of now and Oppo hasn't announced the launch dates for any other market. The smartphone is available at all the leading retail stores in the country in Black and Gold colour options.

Other news