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Debt-laden Reliance Communications (RCom) has completed the sale of its fibre and related infrastructure assets worth ₹3,000 crore to Reliance Jio Infocomm.
With the successful completion of the fibre monetisation transaction, the Anil Ambani group company has transferred 1.78 lakh km of fibre to RJio, the company said in a statement.
Earlier on August 23, RCom had received ₹2,000 crore following the closure of its sale of Media Convergence Nodes (MCNs) and related infrastructure assets to RJio. ALSO READ : RCom gets Rs 2,000 cr from sale of MCNs, infrastructure assets to RJio
Following the sale, 248 MCNs covering more than 5 million sq ft used for hosting the telecom infrastructure were transferred to RJio, a company controlled by Anil’s older sibling and India’s richest man, Mukesh Ambani.
On August 13, sources close to the development had told BusinessLine that RCom had received the first tranche of about ₹800 crore from the sale of its assets. This was mainly for the towers, optical fibre cable network, certain spectrum and MCNs.
On August 17, the Supreme Court vacated an earlier Telecom Disputes Settlement and Appellate Tribunal (TDSAT) judgment passed on August 3, 2018, against RCom on differential spectrum pricing. This move was expected to speed up RJio's asset monetisation plans. Read the story here
RCom and its subsidiary Reliance Telecom, in an attempt to ward off the threat of licence and spectrum cancellation, had also re-instated bank guarantees of ₹774 crore with the Department of Telecommunications (DoT).
On December 28, RJio had emerged as the white knight to acquire the wireless assets of RCom.
RJio had announced plans to acquire RCom’s more than 43,000 towers, 1.78-lakh route km of optical fibre cable network, 122.4 MHz of spectrum in the 800, 900, 1800 and 2100 MHz bands and 248 MCNs. These assets are expected to contribute significantly to the large-scale roll-out of RJio’s wireless, fibre-to-home and enterprise services, the Mukesh Ambani company said. ALSO READ : Mukesh’s Jio leads race to buy Anil’s RCom’s assets
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