Reliance Communications Ltd. (RCom) has agreed to sell its Direct-to-Home (DTH) unit Reliance Big TV Ltd. (RBTV) to Pantel Technologies and Veecon Media & Television. The buyers would acquire the entire shareholding of RBTV and its business on an ‘as-is, where-is’ basis, according to a company statement.
Big TV’s DTH licence was being renewed, RCom said. The deal would help it pare “liability of unsecured creditors, benefitting all stakeholders, including lenders and shareholders.”
The transaction ensures that all 1.2 million customers of BIG TV shall continue to enjoy uninterrupted services and continuity of employment for 500 employees of RBTV, said a company statement adding that the transaction will help reduce the liability of unsecured creditors,benefiting all stakeholders, including lenders and shareholders of RCom.
The transaction is in consonance with RCom’s stated objective to focus on B2B businesses of the new RCom. The successful culmination of the transaction is subject to requisite approvals from licensors, regulatory authorities (Ministry of Information & Broadcasting) and lenders of RCom, the statement added.
RCOM shares closed down 3.4% at ₹12.9 in a weak Mumbai market on Tuesday after reports of Chinese Banks dragging RCom to NCLT for defaults surfaced.
