New Delhi, Feb 16: Debt-ridden telecom operator RCom on Friday said its shareholders have approved an asset monetisation plan which will be used to repay dues.
“The shareholders of the company approved the monetisation of its assets.
The company announced the results of postal ballot on February 15, 2018, whereby the shareholders approved the resolution to monetise spectrum, towers, fibre, telecom infrastructure and other assets with overwhelming majority of 99.91 per cent,” RCom said in a statement.
The company which is reeling under debt of around Rs 450 billion (Rs 45,000 crore) said that post monetisation, the debt and liabilities of RCom will reduce by about Rs 250 billion (Rs 25,000 crore) by prepayment of debts and transfer of Department of Telecommunications’ Spectrum Installments.
The loss making firm has stopped voice call services and is continuing operations of its business-to-business division.
“These B2B businesses are stable, capital light and have sustained and predictable annuity revenues and profits, with immense growth potential amidst relatively low competitive intensity, “ RCom said.