RCom shareholders approve asset monetisation plan

PTI

New Delhi, Feb 16

Debt-ridden telecom operator, RCom, today said its shareholders have approved an asset monetisation plan, which will be used to repay dues. “The shareholders of the company approved the monetisation of its assets. The company announced the results of the postal ballot on February 15, 2018, whereby the shareholders approved the resolution to monetise spectrum, towers, fibre, telecom infrastructure and other assets, with an overwhelming majority of 99.91 per cent,” RCom said in a statement.

The company, which is reeling under debt of around Rs 45,000 crore, said post-monetisation, the debt and liabilities of RCom will reduce by about Rs 25,000 crore by the prepayment of debts and transfer of the Department of Telecommunications’ Spectrum Instalments.

The loss-making firm has stopped voice call services and is continuing operations of its business-to-business division. “These B2B businesses are stable, capital light and have sustained and predictable annuity revenues and profits, with immense growth potential amidst relatively low competitive intensity,” RCom said.

Published on February 16, 2018

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