RCom seeks lenders’ nod for release of Rs 260 cr to Ericsson

New Delhi, February 21 

A day after it faced SC heat over non-payment of dues to Ericsson, Anil Ambani- led Reliance Communications (RCom) today sought urgent approval from its lenders for release of about Rs 260 crore lying in its bank account, directly to the Swedish telecom gear maker.

Reliance Communications said it is confident of raising the remaining about Rs 200 crore for payment to Ericsson, in order to ensure that the entire amount gets paid well within the four weeks timeline set by the apex court.

The latest move assumes significance as the Supreme Court (SC) yesterday held Reliance Communications chairman Anil Ambani and two others guilty of contempt of court for violating its order by not paying dues of Rs 550 crore to Ericsson.

The court said they would face a three-month jail term if Rs 453 crore was not paid to the telecom equipment maker in four weeks.

“Reliance Communications group has requested urgent approval from its lenders to release approximately Rs 260 crore received from Income Tax refunds, lying in its bank account, directly to Ericsson,” a Reliance Communications Limited spokesperson said in a statement.

The permission of lenders is crucial for the beleaguered firm, which had decided to implement debt resolution plans through NCLT (National Company Law Tribunal) framework, making lender’s go ahead necessary for such payments, explained an industry observer. The RCom spokesperson further said that a sum of Rs 118 crore has already been deposited with the apex court.

“RCom is confident of raising the balance approximately Rs 200 crore for payment to Ericsson, in order to ensure that the entire Rs 550 crore, plus interest thereon, stands paid to Ericsson, well within the time of four weeks allowed by the Supreme Court,” the spokesperson added.

Meanwhile, Anil Ambani-led Reliance Capital today said it has invited Nippon Life Insurance to acquire up to 42.88%, which is its entire stake, in Reliance Nippon Life Asset Management Ltd (RNAM).

Japan’s Nippon Life Insurance Co. Ltd. already holds 42.88% stake in RNAM. The company said it will make further announcements at the appropriate time.

As per Bombay Stock Exchange data, as on December 31, 2018, Reliance Capital held 42.9% stake in Reliance Nippon Life Asset Management Ltd.

Anil Ambani-led Reliance Group companies have been trying to monetise some of their assets and bring down the debt significantly. — PTI

RCap invites Nippon Life to buy into RNAM 

• Reliance Capital (RCap) on Thursday said it has invited Nippon Life Insurance to acquire up to 42.88%, which is its entire stake, in Reliance Nippon Life Asset Management Ltd (RNAM)
• Japan’s Nippon Life Insurance Co Limited already holds 42.88% stake in RNAM
• As per the Bombay Stock Exchange data, as on  December 31, 2018, Reliance Capital held 42.9% stake in Reliance Nippon Life Asset Management Ltd