RCom asks lenders to release ₹260 cr. to Ericsson

Firm mulls to raise another ₹200 cr.

Reliance Communications has sought an ‘urgent’ approval from its lenders to release approximately ₹260 crore received from I-T refunds, lying in its bank account, directly to Swedish telecom equipment maker Ericsson.

A sum of ₹118 crore (net of tax) had already been deposited with the Supreme Court registry, which would be given to Ericsson within a week.

“RCom is confident of raising the balance, approximately ₹200 crore for payment to Ericsson, in order to ensure that the entire ₹550 crore, plus interest thereon, stands paid to Ericsson, well within the time of four weeks allowed by the Hon’ble Supreme Court,” the company said in a statement.

The company is looking at other possible ways to raise another ₹200 crore, including tapping the cash reserves of its subsidiary GCX, advance payments from proposed sale of its Delhi property and pending payments from Reliance Jio, to meet the shortfall.

Reliance Communications shares closed at ₹6.33, or 9.14% higher, on the BSE.

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