Comments
Lenders of beleaguered Reliance Communications (RCom) have rejected the resignations of its directors, including that of Chairman Anil Ambani, and want them to continue with their duties till the completion of the insolvency process.
“The Committee of Creditors (COC) of RCom its meeting on November 20, 2019, considered the resignations tendered by the following directors and expressed a unanimous view that the resignations cannot be accepted…,” RCom said in a statement to the BSE.
The lenders also instructed the Resolution Professional to convey to the directors to continue with their duties and responsibilities, “at least until the completion of the insolvency resolution process,” it added.
On November 16, Anil Ambani had resigned as a director of debt-laden RCom, which is under an insolvency resolution process. Along with Ambani, four other directors – Ryna Karani, Chhaya Virani, Manjari Kacker and Suresh Rangachar – had also tendered their resignations.
RCom lenders are expected to meet on November 25 to consider possible bids under the IBC-led insolvency process.
ALSO READ: Anil Ambani resigns as Reliance Communications director
Earlier, RCom had received bids including from Sunil Mittal-controlled Bharti Airtel and Bharti Infratel and PE firm Varde Partners for its assets including spectrum, tower, fibre, media convergence nodes (MCN) and real estate. RCom, which is undergoing insolvency proceedings, has a secured debt of about Rs 33,000 crore. ALSO
READ: Airtel, Varde Partners among bidders for RCom assets
Later, Airtel withdrewn its bid to acquire the assets of Reliance Communications after lenders agreed to extend the deadline for submitting the bids by 10 days. The extension was given on the request of Reliance Jio.
In October, the Resolution Professional, who chaired RCom’s Annual General Meeting (AGM), said that the National Company Law Tribunal (NCLT) had extended the date for completion of the asset-sale process by three months, and now the date to complete the process is January 10, 2020.
RCom had shut down its mobile operations after being unable to pay dues of over Rs 33,000 crore. Reliance Jio is one of the players interested in acquiring RCom assets through the Insolvency and Bankruptcy Code-led insolvency process.
In December 2017, Mukesh Ambani emerged as the white knight and announced the acquisition of the debt-laden RCom through RJio, then a wholly-owned subsidiary of Reliance Industries. Later, in March this year, RCom and Reliance Industries mutually called off that deal, citing lack of regulatory approvals.
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.