India: Bondholders approve RCom’s asset monetisation plan

Photo: Reuters

Anil Ambani-led Reliance Communications Ltd (RCom) on Wednesday said that the company’s bondholders have approved its asset monetisation plans, including its decision to sell its assets to Reliance Jio Infocomm and sale of other real estate.

RCom said its bond holders have also accepted part pre-payment through bonds that were due to mature in 2020.

“The holders of the company’s $300 million Bonds, at their meeting held on 20 March 2018 in London, have approved with overwhelming majority the sale of assets to Reliance Jio Infocomm Limited and also monetization of other real estate assets,” RCom said in a statement.

“The bondholders also approved release of their security on the company’s assets and to accept part prepayment of their outstanding Bonds,” the statement added.

Anil Ambani had in December said that his company had agreed to a new debt resolution plan that would see RCom sell its assets, including spectrum, tower, optical fibre network and other wireless infrastructure, but did not entail lenders and bond-holders writing off dues or converting it into equity.

Through this process, RCom hoped to cut its debt by Rs39,000 crore from the Rs45,000 crore it owed lenders.

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This article was first published on Livemint.com