Mumbai: Reliance Communications Ltd (RCom) is awaiting final approvals for spectrum sharing and trading from the department of telecommunications (DoT) to sell its assets, chairman Anil Ambani told shareholders at the company’s annual general meeting on Tuesday. Speaking to shareholders, Ambani said that RCom’s other monetization measures, including the sale of telecom infrastructure and fibre to Reliance Jio Infocomm Ltd, were at an advanced stage.
Ambani added that he was confident of getting a (debt) resolution in the next few months.
“RCom has obtained the approval of all its bankers, both foreign and domestic, to carry out its asset monetization plan that is expected to bring down the overall debt of the company," said Ambani. “The priority of the company is to resolve its debt."
The debt-ridden company had in December 2017 struck a ₹ 25,000 crore deal with the Mukesh Ambani-led Reliance Jio for the sale of its wireless and realty assets to Canada’s Brookfield, and reduce its debt of ₹ 46,000 crore by repaying 39 lenders. According to the company’s latest annual report, RCom’s lenders include the State Bank of India (SBI), Life Insurance Corp. of India (LIC), Deutsche Bank, Standard Chartered Bank, DBS Bank, Credit Agricole, Yes Bank, Punjab National Bank and UCO Bank.
In August, it had completed the sale of fibre assets worth ₹ 3,000 crore to Reliance Jio Infocomm Ltd.
Ambani also said that RCom, through its wholly owned subsidiary Reliance Realty, which owns and operates the 133-acre Dhirubhai Ambani Knowledge City (DAKC) in Navi Mumbai, will develop it to create commercial space of 30 million sq. ft. The valuation of the development project, as per HDFC Realty, is estimated to be over ₹ 25,000 crore, he added.
Reliance Group companies have sued HT Media Ltd, Mint’s publisher, and nine others in the Bombay high court over a 2 October 2014 front-page story that they have disputed. HT Media is contesting the case.