ALSO READTribunal bars Reliance Communications from selling assets Reliance Communications calls bondholders' meet over asset-sale plan Reliance Communications shareholders approve asset sale plan Rel Comm to sell wireless assets to Reliance Jio for debt reduction Reliance Communications narrows loss as sells off wireless assets
Reliance Communications announced an update on the recent development relating to Assets Monetisation programme of the Company by the lenders:
1. Reliance Jio Infocomm (RJIO) has received an approval of the Competition Commission of India (CCI) for the sale of Tower, Optic Fibre, Spectrum and MCN assets of the Company and its subsidiaries to RJIO.
2. On 12 March 2018, the National Company Law Tribunal, Mumbai Bench has stayed the tower and Optic Fibre Assets sale to RJIO based on the petition filed by 4.26% minority investors of Reliance Infratel, a subsidiary of the Company.
The Company will appeal for vacation of such stay before National Company Law Appellate Tribunal shortly after receipt of the detailed order. There is no stay for sale of Spectrum, MCN and real estate of the Company.
3. The appeal filed by the Company before Hon'ble Bombay High Court against Interim Order for stay of assets monetization passed by Arbitration Tribunal in the matter of Ericsson Master Service Agreement has been dismissed by the High Court. The Company has just received written order of the Hon'ble High Court and will take necessary actions in the best interest of all the stakeholders of the Company.
The Company expects the Secured Lenders of the Company will also take appropriate steps for the expeditious completion of processes transparently run by the lenders for monetization of their securities and realization of their dues.
As legally advised, the claims of minority investors of Reliance Infratel, subsidiary of the Company and / or unsecured vendors cannot under any circumstances rank in higher priority than the undisputed claims of secured domestic and international lenders and any stay granted in this regard is not defensible in law and is liable to be vacated.
Powered by Capital Market - Live News
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)