RCom gets seven months to service debt, to cut burden by 60 per cent

RCom will consider strategic sale of global business to further pare debt, said Anil Ambani.

By: PTI | Mumbai | Published:June 2, 2017 8:51 pm
Anil Ambani, Reliance Communications, RCom Anil Ambani, Anil Ambani Debt, Reliance communcations news, RCOM debt, Anil Ambani news, Business news, Reliance news Chairman Reliance infrastructure Anil Ambani (right) and his son Jai Anmol Ambani during the Reliance capital AGM in Mumbai. (Source: PTI)

Debt-laden Reliance Communications on Friday said its lenders have agreed to a strategic restructuring plan under which it will get a 7-month standstill to service loans amounting to Rs 45,000 crore. In a damage control mode following credit rating downgrades, RCom chairman Anil Ambani held a press conference to announce that the debt burden will be reduced to Rs 20,000 crore with two deals by September, before the December deadline given by the lenders at a meeting with them earlier in the day.

Besides, he said, RCom will consider strategic sale of global business to further pare debt. “Our plans have been accepted by the lenders and they have constituted a joint lender forum (JLF). Reliance Communications, under the provision (SDR), will receive a standstill on serving debt obligations for period of 7 months, that is, till December 2017,” Ambani told reporters here. He said lenders took note of the substantial progress the company has made on the strategic transformation programme, especially the creation of the new, independent wireless company, Aircom, focussed on India, the agreements signed with Aircel and also the Reliance Infratel stake sale to Brookefield of Canada.

“Both the transactions, we believe, will lead to a reduction of Rs 25,000 crore of debt, which is 60 per cent by just two transactions,” he said. He said both the domestic as well foreign lenders have accepted the company’s plans. When asked about the remaining debt of RS 20,000 crore, Ambani said the company will look at strategic sale of its global business.

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  1. A
    Anonymous
    Jun 5, 2017 at 3:22 pm
    nothing will happen to anil ambani. he will get even 7 years time because guju bizman and guju pm whereas mallay is not guju! 40,000 crors vs 9000 crs. the one having debt of rs 40000 crores is gentleman and one having debt of rs 9000 crores is a criminal. its like asking money from a person sitting and drinking in a bar pegs of beer or wine and not asking anything from a person sitting in a restaurent and eating 5 course meal????? no dout they are rightly called suite boot ki sarkar!!!!
    Reply
  2. A
    anonymous
    Jun 5, 2017 at 3:19 pm
    what is the difference of amount between anil ambani's rcom and mr mallyas KF???? WHY NOT ANIL ALSO RUNAWAY . MOREOVER HOW COME ANIL GETS 7 MONTSH BREATHER AND MALLAY HAS TO LEAVE INDIA????
    Reply
  3. A
    ashok s
    Jun 3, 2017 at 6:25 am
    Mallya had loan default of 9000 cr , he had flee the country . where as this man has loan five times more and is still cheerful making investors n creditors great fool
    Reply
  4. H
    harun
    Jun 3, 2017 at 3:55 am
    Anil must adopt a Gaushala and his debt will waived off.The true test of antidefault laws shallowness will be exposed after 6 months.45000 CR,its not 12000 Re a farmer who owes Bank to be humiliated and left to strip in Public
    Reply
  5. A
    arc
    Jun 2, 2017 at 11:11 pm
    Another Mallya the making. But Ambanis are Modi's pals, like the diamond smugglers of Sprat. They are above the law.
    Reply
  6. M
    Main hoon
    Jun 2, 2017 at 9:50 pm
    Hope someone does something about my 91,000 pending loan.. No comments!
    Reply
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