RCOM stock zooms 23%

 

Shares of RCOM were higher by 23% at Rs. 26.20 after company announced its exit from RBI’s SDR framework, with ZERO equity conversion and ZERO loan write-offs for lenders and bond holders.

Upon completion of all transactions as announced, the balance debt in RCOM is expected to be ~ Rs.6,000 crore only, representing reduction of over 85% of total debt.

The stock has hit a high of Rs. 26.66 and a low of Rs. 23.46.

RCOM has worked closely with all Lenders and SBI Capital Markets Limited, the advisors appointed by the Lenders, to run a competitive process in a transparent manner to monetize its valuable assets.

Lenders have received the final binding bids and all transactions are expected to be closed in a phased manner between January and March 2018.

The monetisation of these assets alone will lead to reduction of RCOM’s debt by ~ Rs. 25,000 crore, through prepayment of loans, transfer of DoT’s deferred spectrum payment liabilities, etc.

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Yash Ved
Yash Ved is a Senior Correspondent at NewsBarons and comes with a decade of experience across leading online and offline publications. A keen observer of the stock index movement, Yash also likes covering Real Estate and the BFSI sector. A financial management and Journalism student, Yash believes learning as a continuous journey and enjoys following the IT and the Pharmaceutical industry and has penned many articles on the subjects.
yash@newsbarons.com

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