iWorld

RCom reduces debt burden with 51% towers biz sale to Brookfield

http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/smartcrop_800x800/public/images/tv-images/2016/10/14/RCom800x800.jpg?itok=ZD4dKtJH

MUMBAI: Reliance Communications, an integrated telecommunications service provider, announced that it has signed term sheet with Brookfield Infrastructure Group for part-sale of its telecom tower business. RCom is selling 51% stake in tower unit for Rs 11,000 crore. The deal involving 45,000 mobile towers will facilitate RCom to lessen debt burden.

Reliance Communications has a net debt of Rs. 42,000 crores as of end-June, which it expects to cut by Rs. 20,000 crore. Reliance had been looking to sell its mobile towers business, and had expected to seal a deal by October, CEO Gurdeep Singh had said earlier.

Under the existing conditions, the specified assets are intended to be transferred from Reliance Infratel Ltd. (RITL) on a going concern basis into a separate SPV, to be owned by Brookfield. RCom will own 49% in the SPV.

RCom will receive an upfront cash payment of Rs 11000 crore, and will also enjoy 49% future economic upside from the towers business, based on certain conditions.

RCom said that, under the term sheet, the specified assets are intended to be transferred from Reliance Infratel (RITL) on a going concern basis into a separate special purpose vehicle (SPV), to be owned by Brookfield. RCom will continue as an anchor tenant on the tower assets, under a long term MSA, for its integrated telecommunications business.

RCom and Brookfield expect considerable growth in tenancies based on increasing 4G offerings by all telecom operators, and the fast accelerating trends in data consumption, which are expected to contribute to significant growth in revenues and profitability for the towers business in the future.

RCom and Brookfield also see several opportunities for consolidation in the towers industry in India that will further enhance growth and value creation in the future. The proposed transaction is subject to definitive documentation, customary approvals and certain other terms and conditions.

RCom will continue as an anchor tenant on the tower assets, under a long-term pact, for its integrated telecom business.

Both companies expect considerable growth in tenancies on the back of increasing 4G offerings by all telecom service providers, and data consumption growth, as they are expected to contribute to significant growth in revenues and profitability for the towers business in the future.

Latest Reads

http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/10/18/ajit-mohan.jpg?itok=ITPivFI5
Hotstar to exclusively live-stream Paytm Ranji Trophy

Underscoring its position as the home of cricket, Hotstar, a video streaming platform, is the exclusive partner for the Paytm Ranji Trophy 2017-18. The Paytm Ranji Trophy, now in its 84th season, kicked off on October 6th with the group stage matches.

iWorld Video On Demand
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/10/18/Reed_Hastings_1.jpg?itok=SP_NGTFg
Netflix's international streaming boosts rev in Q3, op income almost doubles

BENGALURU: Global internet entertainment company Netflix, Inc., (Netflix) reported 30.3 per cent year-over-year (y-o-y) increase in consolidated operating revenues for the quarter ended 30 September 2017 (Q3-17, current quarter) as compared to the consolidated revenue for the corresponding year-ago...

iWorld Video On Demand
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/10/17/rishi.jpg?itok=dsbFqZtv
ARK Infosolutions wins Digital Studio award

Value-added distributor for technology products ARK Infosolutions has bagged two awards for the best national distributor (production) and best regional distributor (Production) (West) at the 2nd Digital Studio India Channel Partners Awards 2017.

iWorld eNews
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/10/17/sony-liv.jpg?itok=17uqEXJG
SonyLiv plans to take unique food content to 8k hrs by Sept '18

Who is the first mover in the OTT space to introduce food as a genre? SonyLiv has -- on World Food Day (16 October) -- introduced the food genre to its existing line-up of diversified content.

iWorld Over The Top Services
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/10/17/CASBAA.jpg?itok=9o9CJ8JS
CASBAA forms 'Coalition Against Piracy,' hires content protection veteran Neil Gane

MUMBAI: CASBAA has announced the formation of the Coalition Against Piracy (CAP), a major initiative to coordinate industry resources in the fight against rampant content theft. It has appointed Neil Gane, an industry veteran in content protection, as the general manager of CAP. Gane will direct...

iWorld Over The Top Services
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/10/17/Gaurav_Gandhi-800x800.jpg?itok=95X9Z57z
Bigg Boss Season 11 garnered 70 mn views on Voot in 10 days

MUMBAI: Colors ace Bigg Boss Season11 has garnered a big buzz on the internet. It has amassed around 70 million views in just the first 10 days of the show on Viacom18’s Voot. Voot carries every aspect of Bigg Boss including the full episodes, voting, MTV Bigg Boss Extra Dose and several exclusive...

iWorld Over The Top Services
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/10/17/IAMAI.jpg?itok=iBaPW91i
150 IoT start-ups in 3 cities in as many yrs: IAMAI, Napino tie up

NEW DELHI: The Internet and Mobile Association of India (IAMAI) has teamed up with Mobile10X and Napino Auto & Electronics Limited to bring together startup entrepreneurs so that they can realise their true potential and evolve Internet of Things (IoT)-based ecosystem in the country.

iWorld eNews
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/10/14/inmates.jpg?itok=q3TmqTlM
TVF: From Roommates to Inmates

After the success of The Viral Fever’s Permanent Roommates series, the web content producer is back at it with a new plot in TVF Inmates. Three boys and two girls with outrageous personalities share a house in Mumbai.

iWorld Over The Top Services
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/10/14/Untitled-1.jpg?itok=4OjyMXk8
Netflix: Kashyap, Motwane to direct parallel 'Sacred Games', targeting 5-6 originals in a year

MUMBAI: Renowned filmmakers Vikramaditya Motwane and Anurag Kashyap have been commissioned to work on two parallel stories in Netflix's maiden India-set original series 'Sacred Games' based on Vikram Chandra's best-selling novel.

iWorld Video On Demand

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories