RCom currently has spectrum in the 850 MHz band in 14 out of 22 circles in the country and holds a pan-India licence.
Reliance Communications had close to Rs 45,000 crore debt on its books in October 2017, he had said. The RCOM stock rose sharply on announcment, closing at 30 per cent high at Rs 21.33.
The move is aimed at reducing debt and benefiting all stakeholders, including lenders and shareholders, of RCom.
Lenders of debt-ridden Reliance Communications have approved the sale of its real estate assets in Delhi and Chennai to Canada-based asset management firm Brookfield.
RCom today presented a fresh plan to recast its Rs 45,000 crore debt to lenders that includes converting Rs 7,000 crore of debt into equity by banks and handing over majority stake to them.
The firm will sell telecom tower and real estate businesses to pay off Rs 27,000 crore out of Rs 45,000 crore of debt on its book.
Legal and regulatory uncertainties, and various interventions by vested interests, have caused inordinate delays in receipt of relevant approvals after the September 2016 binding agreement.
Blaming legal and regulatory uncertainties, RCom admitted that the merger agreements had “lapsed with mutual consent”.
Telecom company Reliance Communications today posted a consolidated loss of Rs 1,210 crore in the three-month period ended June 30, 2017, the third straight quarter loss for the debt-laden firm.