Shares of Reliance Communications (RCOM) zoomed after Reliance Group’s Chairman Anil Ambani on Tuesday announced plan to reduce the company’s debt by Rs 25,000 crore to Rs 6,000 crore — closing almost 30 per cent higher at Rs 21.33.
Around 3.15 p.m., RCOM’s stocks augmented by 36.05 per cent to trade at Rs 22.19 per share on the BSE. At one point it had risen by over 41 per cent.
Addressing a press conference, Anil Ambani said the company has achieved full resolution of RCOM’s debt restructuring.
RCom had close to Rs 45,000 crore debt on its books in October 2017, Ambani said.
ALSO READ: RCOM debt cut by Rs 25K cr to Rs 6K cr: Anil Ambani
Ambani said the company would close all the transactions by January-March 2018. In a press conference, Ambani said the debt would be recast by remonetisation with zero write-off to lenders and bankers.
It would monetising the assets of its wireless business. He said that some foreign players had shown interest in buying equity in the company, but no part of the debt would be converted into equity.
The stock of RCOM has been on the rise since last week after there were rumours that Mukesh Ambani would be buying the assets of Anil Ambani’s RCOM. Shares of RCOM have surged almost 65% in three days.