Anil Ambani-headed Reliance Communications, under stress from financial sectors, has put its property monetization exercise on pace and is aiming on the whole 80% drop in its debt of almost Rs 45,000 Crore by the end of December, two sources aware of the issue said to the media.
The under pressure-telecom company is in search to raise almost Rs 11,000 Crore by monetizing prime properties in Delhi and Mumbai. This, mutually with Rs 25,000 Crore that it anticipates to gather from the wireless venture amalgamation with Aircel and the tower venture stake sale to Brookfield of Canada, will be utilized to slash its debit down to almost Rs 9,000 Crore by the end of this year, one of sources quoted.
“All outcomes from the monetization of 133 acre of Dhirubhai Ambani Knowledge Complex of Reliance Communications near Mumbai and 3.7 acre of property in Delhi near Connaught Place will be employed to get rid of debit,” said the second source. Reliance Communications did not respond to media’s email questions during press time.
In the meantime, Reliance Jio Infocomm, headed by Mukesh Ambani, wanted approval of Competition Commission of India for its suggested sharing pact of spectrum with Reliance Communications. Reliance Jio Infocomm and Reliance Communications had inked spectrum sharing and trading pacts way back in 2016, in moves that were targeted to assist the combined influence of 800 MHz airwaves to roll out 4G services all across the country. The move had then scored the much-expected amalgamation among the Ambani brothers that might strengthen them in opposition of top current telecom companies such as Vodafone, Bharti Airtel, and Idea Cellular.
The real estate monetization plans of the company have also been in position for almost 2 years but no contracts have occurred till now. The sprawling Dhirubhai Ambani Knowledge Complex property in Navi Mumbai esteemed at almost Rs 10,000 Crore is directly possessed by Reliance Communications while the Connaught Place property in Delhi, which houses the corporate affairs wing of company, is possessed via Campion Properties, a completely owned Reliance Communications unit. Reliance Communications is intended to have inclined the property in Delhi to large companies and banks as it offers “ready-to-move-in” office space and is believed to be worth almost Rs 800 Crore.
Well, let us see if all these efforts for pacing its property monetization exercise will help repay the debt by Reliance Communications or not. All the best!!!