Reliance Communications (RCOM) bondholders approved the tender and exchange offer of $300 million bonds with an overwhelming majority of over 83 percent.
Reliance Communications today said it will repay holders of $300 million bonds through a combination of cash and bonds of its overseas firm.
“Reliance Communications (RCOM) bondholders approved the tender and exchange offer of $300 million bonds with an overwhelming majority of over 83 percent, at their meeting held today, 24 August 2018, in London,” RCom said in a statement.
Following the offer that has been approved, the bondholders will receive cash proceeds of up to $118 million.
“The bondholders will also get $55 million bonds to be issued by Global Cloud Xchange Limited (holding Company of GCX), a foreign subsidiary of RCom,” the statement added. The Global Cloud Xchange bonds will be unsecured and carry a coupon of 0.1 percent with maturity of four years, it added.
Anil Ambani-owned Reliance Communications had yesterday announced the completion of the planned sale of its media convergence nodes (MCNs) and related infrastructure assets, worth Rs 2,000 crore, to Mukesh Ambani-backed Reliance Jio Infocomm (RJIO).
The transaction entailed 248 nodes covering close to 5 million sq ft of area, used for hosting the telecom infrastructure, all of which now stands transferred to Jio.
The company had recently also reinstated bank guarantees worth Rs 774 crore with the telecom department ahead of the timelines set by the telecom tribunal and had emphasised that its Rs 25,000 crore asset sale plans are “on track”.
Last year, Reliance Communications signed a pact with Reliance Jio for sale of wireless spectrum, tower, fiber and MCN assets – the proceeds of which were to be used to reduce debt.