Mumbai: Shares of Reliance Communications Ltd (RCom) surged over 235% in last three weeks after Reliance Jio Infocomm Ltd said it will buy a majority of the wireless assets of the company.

The stock gained over 30% to hit an intraday high of Rs41.77 a share, a level last seen on 11 November. The stock closed at Rs36.22 on BSE, up 16.99% from its previous close. Reliance Industries Ltd dropped 0.36% to close at Rs921.05 a share.

From 1 January till November, the shares declined over 60%, but after the announcement of Rs39,000 crore debt resolution plan on 27 December, it reversed its losses and turned positive. So far this year, it has gained over 6%, its biggest yearly gains since year 2015.

According to newspaper reports, the deal value is estimated to be Rs24,000 crore. Mint could not ascertain the value of the transaction.

Both the companies, in separate statements, said that Jio has emerged as the highest bidder and signed binding agreements with Anil Ambani-run RCom for sale of wireless spectrum, tower, optical fibre network and media convergence node assets.

The deal appears to be a win-win for both brothers as Jio gets most of RCom’s assets, giving it more firepower in its telecom business, while the Anil Ambani-promoted firm will reduce its debt overhang substantially.

Other Anil Dhirubhai Ambani group stocks were also advanced. Reliance Capital Ltd rose 4%, Reliance Infrastructure Ltd 1.8%, Reliance Naval and Engineering Ltd 4.3% and Reliance Power Ltd was up 4%.

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.