New Delhi: Shares of Reliance Communications Ltd closed over 1% lower on Thursday after equipment maker Ericsson filed a petition against the company under the insolvency and bankruptcy code for recovery of about Rs1,155 crore.
The stock settled at Rs21.55, down 1.15% on BSE. During the day, it lost 2.98% to Rs21.15. At NSE, shares of the company dipped by 0.91% to end at Rs21.55. In terms of equity volume, 19.95 lakh shares of the company were traded on BSE and over 2 crore shares changed hands at NSE during the day.
RCom on Wednesday said it will challenge Ericsson’s petition. “We wish to inform you that Ericsson India Private Limited (Ericsson), an unsecured operational creditor, has filed petition under IBC provisions against the company in... National Company Law Tribunal, Mumbai Bench... for recovery of an amount of Rs 491.41 crore,” RCom said in a BSE filing.
Ericsson has also filed similar petitions against RCom subsidiaries, Reliance Infratel and Reliance Telecom, for recovery of Rs534.75 crore and Rs129.34 crore, respectively, the filing added. The debt-ridden telecom operator has been given time till 31 December by the lenders to service its debt obligation.
Reliance Group companies have sued HT Media Ltd, Mint’s publisher, and nine others in the Bombay high court over a 2 October 2014 front-page story that they have disputed. HT Media is contesting the case.