TIL Desk/Business/Mumbai/ Crippled Reliance Communications announced yet another debt revival plan on Tuesday, claiming full debt resolution by March, but without involving any conversion of debt into equity and exiting the SDR framework, apart from the coming on board of a strategic investor.
But the company did not name the new investor. Announcing the resolution plan, company chairman Anil Ambani told reporters that the new plan has the support of a Chinese lender that had dragged it to the National Company Law Tribunal for dues running into USD 1.8 billion, and would see RCom bringing down its mountain of debt by Rs 25,000 crore.
The company has a debt over Rs 44,000 crore. The RCom stock rallied 35 per cent on the BSE to Rs 22.01 per cent after the announcement. The debt resolution involves RCom exiting the SDR framework with no conversion of debt into equity and zero write-off by lenders, Ambani said, adding that he expects full closure by March 2018.
He said the deal involved an eight-stage asset monetisation process under an oversight committee headed by former RBI deputy governor S S Mundra with members from Trai, and the whole process will be completed in 40 days flat.
