Reliance Jio and UV Asset Reconstruction Company (UVARC) have emerged as the top bidders for buying assets from Reliance Communications (RCom), PTI reported.
Reliance Jio, a company promoted by Mukesh Ambani, has placed Rs 4,700 crore bid for buying mobile tower and fibre assets of Reliance Infratel, a subsidiary of RCom.
UVARC has placed bids of around Rs 16,000 crore for spectrum, real estate assets as well as the enterprise and data centre businesses held by RCom and Reliance Telecom.
The bidders have committed to pay 30 percent of the proceeds of around Rs 7,500 crore within 90 days.
With this, 38 lenders of RCom would recover 75 percent of the total outstanding of around Rs 33,000 crore. This is the highest-ever recovery of dues by financial creditors in the Indian telecom sector.
The lenders will clawback the priority payments of around Rs 4,300 crore made to Chinese lenders (Rs 1,300 crore), Indian lenders (Rs 3,000 crore). Lenders will start recovering the monetisation proceeds starting March 2020.
Committee of creditors (COC) met on January 13, 2020 to discuss the bid from Reliance Jio and UVARC. COC members will have to now obtain their respective board approvals so that they can put in final vote to approve the resolution plans on January 31 ahead of the NCLT filing due by February 3.