Shares of Reliance Communications rallied as much as 40 per cent in Wednesday's trade as the company has unveiled a plan to exit its ongoing strategic debt restructuring exercise and reduce its debt by 87 per cent to about ₹6,000 crore. The plan, which will also have on-board a strategic investor in the “new RCom”, is expected to be closed in a phased manner between January and March 2018.

The new plan , which has the backing of all RCom lenders, including Chinese bankers, will neither involve any conversion of debt into equity nor any haircuts and write-offs for lenders, Reliance Group chairman Anil Ambani told reporters on Tuesday.

RCom shares opened the session higher at Rs 23.46 against the previous close of Rs 21.33, touched an intraday high of Rs 29.95 and a low of Rs 23.46 on the BSE. In terms of equity volume, 927.73 lakh shares exchanged hands in the evening trade. The stock ended the session up by 34.74 per cent at Rs 28.74.

Earlier in November, the company had said that is renegotiating its tower business dea l with all interested parties, including Brookfield Infrastructure Group. In December 2016, RCom had signed binding agreements with Brookfield Infrastructure and its institutional partners for the sale of its tower business. RCom was to receive an upfront cash payment of ₹11,000 crore on completion of the transaction.

Lenders of debt-ridden Reliance Communications had last month approved the sale of its real estate assets in Delhi and Chennai to Canada-based asset management firm Brookfield. “Lenders have approved sale of real estate asset RCom holds in Delhi and Chennai for ₹801 crore to Brookfield,” a source privy to the development told PTI on condition of anonymity.

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