The Union Cabinet has approved Telecommunications Consultants India Ltd, a Government of India Enterprise, to increase the equity at Tamilnadu Telecommunications Ltd (TTL). The approval was given at the cabinet meeting which was held last week, according to TTL.
In an announcement to Bombay Stock Exchanged TTL said that the cabinet has approved the additional investment by TCIL in Equity of TTL. The Union Cabinet has approved to enhance the equity share capital of TCIL in its Joint Venture Company, TTL to Rs 22 crore from Rs 6.95 crore.
The equity percent of TCIL shall go to 49 per cent which amounts to conversion of loans to equity to the extent of Rs 15.43 crore once the total proposed revival package of TTL is approved which includes other restructuring by Banks also which are pending.
The Union Cabinet also gave its approval to authorise TCIL to provide bridge loans to the extent of Rs 12.5 crores till loans from banks are organised. Major portion of this loan is towards one time settlement of consortium banks loans.
