Mukesh Ambani to assist Anil Ambani by buying telecom assets of RCOM

Government put on hold a plan to increase the prices by Rs4 every month and also due to higher global price

Reliance Jio Infocomm will be buying wireless spectrum, cell towers, fiber and media convergence node from the ailing Reliance Communications. The proposed transaction is subject to lenders' and other applicable approvals and is expected to close in phased manner between January and March 2018.

The sale marks the return of the telecom company back to the fold of Reliance Industries, which forayed into telecoms in 2002, spearheaded by elder Ambani, under the name of Reliance Infocomm Ltd.

A feud between the two brothers in 2005 led to a split in Reliance Industries, with Mukesh keeping the cash-generating oil and gas business while Anil gained control of the power, finance and telecom businesses.

Reliance Jio emerged as the highest bidder after two rounds carried out by SBI Capital Markets on behalf of the consortium of lenders that were devising a statutory debt restructuring process for the company. "These assets are strategic in nature and are expected to contribute significantly to the large-scale roll-out of wireless and Fiber to Home and Enterprise services by RJIL".

Anil Ambani said the money raised from the sale will be used to repay lenders, including China Development Bank, which sought to have the company declared insolvent before India's National Company Law Tribunal in order to recover around $2 billion in debt.

Cash payments, including deferred spectrum installments payable to Department of Telecommunication (DoT), would form part of the deal. Anil Ambani on Tuesday claimed that his beleaguered Reliance Communications has negotiated a new deal with the lenders under which almost Rs 40,000 crore will be raised through asset sales, averting an imminent takeover by local and foreign banks. The company is already undergoing a "robust" transformation to a business-business services company, Anil Ambani had said. Under the new debt revival plan, upon completion of all transactions, the balance debt in RCom is expected to be Rs 6,000 crore, a reduction of over 85 per cent of total debt, RCom said in a release. About 50% of its revenue will come from overseas operation, Ambani said. Earlier in October, RCom's merger talks with Aircel collapsed.

Related News:



Most liked

Alabama Certified Doug Jones As The Winner Of Its Special Election
He takes over the seat previously held by Attorney General Jeff Sessions, and his term expires in January 2021. Senator will take office just after the new year, according to Secretary of State John Merrill .

Vanity Fair Apologises For Video Suggesting Hillary Clinton Takes Up Knitting
For the president, the uproar provided an opportunity to take a dig at two of his favorite targets: Clinton and Vanity Fair . Ms Kosoff, the writer who made the knitting suggestion, reportedly took to her private Twitter account to defend the video.

Tiger Zinda Hai breaks box-office records on opening weekend
What better gift for superstar Salman Khan than his venture Tiger Zinda Hai rocking the Box Office windows worldwide. From thereon, Tiger and Zoya burst from one frame to another by kicking and punching the bad guys.

Longtime Atlanta anchor, Amanda Davis, dies after suffering massive stroke
FOX 5 spoke to a close friend of Davis who said she had a medical emergency at Atlanta's Hartsfield-Jackson International Airport. Davis retired from WAGA-TV in 2012 after a driving under the influence-related arrest, according to the Journal-Constitution .

Giants' Collins sorry for alluding to Apple as 'a cancer'
He and Apple met separately with Spagnuolo and then all three talked. "But that first pick. he's a cancer ". On Wednesday morning, Apple and Collins were called into the office of interim head coach Steve Spagnuolo.

Egypt imprisons British woman alongside Jihadi terrorists for Tramadol
But the family said Ms Synclair went to the cells only to find that Plummer had already been transferred to a prison in Qena. Laura Plummer , who was found with Tramadol tablets in her suitcase, has been sentenced to three years in prison.

Sam Darnold would be honored to play for any National Football League team
The Browns have clinched No. 1, but after that, it is still very much up in the air. However, this is the way of life with the NFL Draft being the system in place.

FCC Approves First Distance Wireless Charging System
The transmitter converts electricity to radio frequencies, which are then beamed into devices that have a corresponding receiver. In a major step forward for charging technology, the FCC has certified the first at-a-distance wireless charging system.

APTOPIX Ukraine Prisoner Exchange
The released people have already got into a bus and are returning to the Ukrainian-controlled territory, according to the news outlet Hormadske .

Gallup Poll Names Barack Obama and Hillary Clinton Most Admired People Again
Former President Obama may be out of sight, but he isn't out of mind with respondents of Gallup's annual "Most Admired Man" poll. Situational awareness: "President Trump's legal team plans to cast former national security adviser Michael T.

U.S. woman gets $400b electricity bill
The bill stated she had until November 2018 to pay all of the money; her minimum payment for December was over $28,000. Not even Clark Griswold could rack up such a bill with Christmas lights, so it was obviously a mistake.

Snow Just In Time for Christmas
The new snow along with strong wind has raised the avalanche danger in some locations in the backcountry. Billings has been treated to a white Christmas each of the past five years, and eight of the past nine.

Winter Weather Advisory extended into tomorrow morning
West wind will be strong enough to carry snow to the east side of the state Christmas day, especially in the afternoon. He noted that a lake effect storm system will bring heavy snow, gusty winds and dropping temperatures in those areas.

Christmas Eve blazes keep Sudbury fire crews busy
For or more information about donating items to the family Pembroke Fire Department ask that you call Nick Belair at 315-391-4900. Charlotte Fire Department crews responded to the fire about 2:18 a.m. on Bellhaven Boulevard.

Top Miss America Leaders Resign Amid Email Scandal
While the board approved Haskell's resignation, Randle and Weidner will remain in their positions for a transition period. Also on Saturday, President Josh Randle and Chairman Lynn Weidner resigned .