RCom gains as company files appeal before NCLAT against NCLT order

The stock moved higher by upto 19% to Rs 15.95 in noon deal, bouncing back 24% from its early morning low on the BSE.

Reliance Communications (RCom) has moved higher by upto 19% to Rs 15.95 in noon deal, bouncing back 24% from its early morning low on the BSE after the company filed appeal before the Hon’ble National Company Law Appellate Tribunal (NCLAT) against the Hon’ble National Company Law Tribunal (NCLT) order. The stock hit an intra-day low of Rs 12.90 on the BSE.

“The Directors of Reliance Communications and two of its subsidiaries Reliance Telecom and Reliance Infratel, today filed appeals before the Hon’ble National Company Law Appellate Tribunal (NCLAT), New Delhi, challenging and praying to stay the order of the Hon’ble National Company Law Tribunal (NCLT), Mumbai, whereby Ericsson applications had been allowed to be admitted for debt resolution under the NCLT IBC process,” RCom said in a BSE filing.

On Friday, May 18, RCom said “We confirm that RCom and Ericsson are at an advanced stage of discussions to expeditiously resolve commercial issues. This will enable RCom to exit the NCLT process.

RCom is confident to expeditiously proceed with its monetisation plan with Reliance Jio and overall Resolution Plan with the lenders, keeping in mind the interests of all stakeholders, it added. The stock had rallied 107% from its intra-day low of Rs 9.95 on May 16, to Rs 20.65 touched on May 18, in intra-day trade.

At 01:15 pm; RCom was trading 13% higher at Rs 15.20 on the BSE, as compared to 0.17% rise in the S&P BSE Sensex. A combined 217 million equity shares changed hands on the counter on the BSE and NSE so far.