|
| Losses over Rs 1,325 cr in 61 group firms: Rel Infratel |
| Press Trust of India / Mumbai Sep 28, 2009, 15:51 IST |
|
Ahead of its proposed IPO to raise an estimated Rs 5,000 crore, Anil Ambani-led Reliance Infratel has said that 61 of its group entities have posted losses of more than Rs 1,325 crore in fiscal 2008-09.
Reliance Infratel, operating in the telecom tower and other infrastructure related businesses, has revived its IPO plans after its previous attempt fell prey to market slowdown last year.
Among the 61 group companies, which have posted losses, FLAG Telecom Ireland Network posted the maximum losses of Rs 242.71 crore, followed by Vanco ROW at Rs 179.29 crore.
The other major losers among the group companies include Reliance Telecom Limited with a loss of Rs 174.29 crore, Reliance Big TV (Rs 84.24 crore), Reliance Wimax World BVI (Rs 54.65 crore) and Reliance Wimax World BV (Rs 39.08 crore).
Besides, one of its promoters Reliance Communications Infrastructure Ltd (RCIL) incurred losses in 2006-07, but made profit in the subsequent two fiscal, the company has disclosed in the draft IPO prospectus filed with market regulator SEBI.
RCIL, reported a loss of Rs 506.93 crore in fiscal 2007, but in the following financial year the company returned to profitability and reported a profit after tax of Rs 621.26 crore.
When contacted an RCom spokesperson said, "The profit or loss of all subsidiaries for previous fiscal has been consolidated in the books of accounts of RCom and outlined in last year's annual reports.
It is a constant endeavour of the company to optmisise revenue potential and exercise prudent control on expenditure, in order to further enhance value for out many million shareholders"
Reliance Infratel has said that it would utilise Rs 4,000 crore towards repayment of a loan to the promoter entity RCIL.
Besides from RCIL, the company has also taken unsecured loans from another promoter entity Reliance Communications (RCom),as also from commercial banks and third-parties, for its business expansion needs.
Reliance Infratel has been availing short-term and long-term loans from its promoters, RCom and RCIL, from time to time, primarily to fund its expansion plans.
At the end of last fiscal, total unsecured loans outstanding were Rs 15,161.3 crore, out of which unsecured loans outstanding from promoters (RCom and RCIL) were Rs 9,111.4 crore and remaining from the commercial banks and third parties.
As of September 15, 2009, total unsecured loans outstanding from promoters were Rs 10,753.9 crore -- including Rs 5,822.32 crore due to RCom and Rs 4931.6 crore to RCIL.
|
|
|
|
|
|
|
|
|
|
 Read Business news in |  |
|
|
|
|
|
|
Advertisements |
|
|
|
|
|
|
|
|
|
|
Content Guide
