According to unnamed market sources, the transaction price would reach INR 240 billion, the Economic Times reported. Jio and RCom did not releases financial details related to the transaction.
An asset monetization process for RCom assets was mandated by RCom lenders, who appointed SBI Capital Markets to manage the process. The process was supervised by an independent group of distinguished industry experts, Jio said. RJIL emerged as the successful bidder in the two-stage bidding process.
RCom assets include 122.4 MHz of 4G spectrum in the 800/900/1800/2100 MHz bands, around 43,000 towers, 1,78,000 km of fibre across India and 248 media convergence nodes, covering 5 million square feet used for hosting telecom infrastructure.
RCom expects the transactions to close in a phased manner between January and March 2018, subject to lenders’ and other applicable approvals. The deal consideration comprises primarily cash and includes transfer of deferred spectrum installments payable to the Department of Telecommunication, RCom said.
According to Jio, the acquisition is subject to receipt of requisite approvals from governmental and regulatory authorities, consents from all lenders, release of all encumbrances on the said assets and other conditions precedent. The consideration is payable at completion and is subject to adjustments as specified in the agreement.
