The company has not stated any name of the creditors or the liabilities of the debt. On March 18, the company has taken over the liabilities of the Reliance JIo Infocom limited.
The Company statement
The company stated that “We refer to the disclosure made by Reliance Jio Infocomm Limited (‘RJIL’), a wholly-owned subsidiary of the Company, dated March 18, 2020, regarding approval of the Scheme of Arrangement amongst RJIL and certain classes of its creditors (the ‘Scheme’) by the Hon’ble National Company Law Tribunal, Ahmedabad Bench, for transfer of certain identified liabilities to the Company”.
“Accordingly, the Identified Liabilities of RJIL stand transferred to the Company. There shall be no impact on the consolidated debt of the Company on account of the assumption of the Identified Liabilities of RJIL”
Rio has planned to invest a huge amount Rs 1.08 trillion in the new subsidiary through optionally convertible preference shares (OCPS).
RIL has said the move will not lead to any change in its overall gross debt which stands at Rs 2.87 lakh crore. The new subsidiary is also a key element in RIL’s plan to be a zero debt firm by March 2021.
Market observers do not rule out the possibility of the company bringing in strategic investors in JPL, the parent of Reliance Jio Infocomm, in the coming months.
Statement from director
Managing Director Mukesh Ambani had earlier said given the reach and scale of its digital ecosystem, it has received strong interest from potential strategic partners and that it will induct the “right partners” in the platform company, creating and unlocking meaningful value for the RIL shareholder.
However, the current selloff in the markets amid fears of a global recession could delay its plans. RIL has also announced plans to bring in Saudi Aramco in its oil-to-chemical business (O2C).
Mukesh Ambani, his wife, and three children have marginally raised their personal shareholding in RIL by acquiring some shares of another promoter group entity.
Overall, the promoter group shareholding in the oil-to-telecom conglomerate remains unchanged at 47.45 percent, the company said in a regulatory filing.
Shares close have 965 units with a share of 4 %.
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