The Telegraph
Thursday , September 14 , 2017
 
CIMA Gallary

Ericsson in tussle with R-Com

Mumbai, Sept. 13: Ericsson India Private Ltd (Ericsson) has dragged Anil Ambani-owned Reliance Communications (R-Com) to the National Company Law Tribunal (NCLT)

An unsecured operational creditor of R-Com, Ericsson today filed a petition at the NCLT, Mumbai bench, under Section 9 of the Insolvency and Bankruptcy Code (IBC) to recover Rs 491.41 crore.

Ericsson had also filed similar petitions against Reliance Infratel Ltd and Reliance Telecom Ltd, subsidiaries of R-Com, to recover Rs 534.75 crore and Rs 129.34 crore, respectively, a R-Com statement said.

While the NCLT adjourned the matter to September 26 after hearing both the parties, R-Com said it intended to challenge the petitions.

The news saw R-Com shares dropping about 4 per cent on the Bombay Stock Exchange. The scrip ended at Rs 21.80, a drop of 3.75 per cent.

Last month, the NCLT had admitted a petition by R-Com for the merger of its wireless business with Aircel.

It had also admitted a petition from the Anil D Ambani firm for the sale of a 51 per cent stake in its tower arm to Brookfield of Canada.

Both the deals are vital for R-Com because if they do not go through by December, lenders may exercise the right to convert their debt in the company to equity under the resolution mechanism.


 More stories in Business

  • End of the road for export subsidies
  • SK to help Airtel in tech fight
  • Billion-dollar public issue after 7 years
  • Tata Chem close to selling Haldia unit
  • Keventer gets Singapore cash
  • Shakti powers CIL auction
  • Global meet in city
  •