Debt-ridden Reliance Communications plans to shut down its 2G mobile business in about a month and continue to operate 3G and 4G services till the time they remain profitable, industry sources said.
RCom Executive Director Gurdeep Singh is learnt to have informed employees that the company has reached a "situation where we need to call it a day on our wireless business" and this would lead to closure of "wireless business 30 days from now".
The company will "continue to operate ILD voice, consumer voice and 4G dongle post paid services" and mobile tower business till the time they remain profitable and all the other business will be shut down, he has said.
A email query sent to RCom remained unanswered.
The move comes after the company, reeling under debt of around Rs 46,000 crore, failed to close to its wireless business merger deal with Aircel in the beginning of this month.
RCom and Aircel in September last year had signed a binding agreement to merge their mobile businesses. But, on Sunday, RCom announced that the agreement had lapsed owing to legal and regulatory uncertainties, objections by interested parties and delays in receiving relevant approvals.
Singh is also learnt to have mentioned closure of company''s DTH business once its licence expires on November 21.
While Aircel was one of the several possible transactions that Ambani was pushing for to reduce RCom''s debt, the company said on Sunday that it will consider an alternate plan to cut debt, which includes sharing and trading of its spectrum or airwaves valued at about Rs 19,000 crore.
Please everyone avoid reliance Nippon life bcoz of rpower 2008...but I will apply this IPO...
357. R R Patel| Link| Bookmark|
October 25, 2017 2:36:49 PM
IPO Mentor (800+ Posts, 3400+ Likes)
Reliance Nippon Life Asset Management Ltd. IPO: Subscription figures on day 1 @1:30pm:- QIB - 2.63X HNI - 8.9X Retail - 0.47X Total - 2.9X Total 3,63,050 lots of 59 shares each will be available for retail category. Dimag apply karne ko kah raha hai or dil avoid karne ko kah rah hai...... Ab kya kare Let''s wait and watch the subscription figures.
Market mai 1 or fear hai ki kahi ye rpower ki tarah fir se market crash na kar de...
Markets is making new high everyday, hope it doesn''t happen that we apply on last day at 2.55PM, get allotment also n on the listing day market tanks n so does this stock, possible?
357.2. Huzefa| Link| Bookmark|
October 25, 2017 3:52:56 PM
Top Contributor (300+ Posts, 200+ Likes)
It is the same company which came with Reliance Power IPO during 2007 bull run. Market tanked on listing day and this IPO did not even gave a decent chance to existing investors to exit even with small losses. In 7 months the stock was quoting 70% below the issue price. All Anil ambani companies are in huge debt compared to Mukesh Ambani companies.
Now, Let''s see when this IPO will be oversubscribed by more than 45 times & how many people will be still adamant of not applying to this issue only for the fact that it''s Adag stock. As promised I applied with full force on Day 1.
Still 3 days to go. Apply for listing Gain
355. PearlRohit| Link| Bookmark|
October 25, 2017 3:34:57 PM
Top Contributor (200+ Posts, 100+ Likes)
QIB & NII PORSION FULLY SUBSCRIBE IN ONLY 1 ST DAY 1ST HOUR
Thanks for confirming on NLC......My broker allows up to 2 Lacs margin for this...So I can apply for shares for 2 Lacs tomorrow and sell them day after tomorrow and pay back broker.
I see the discount for retail is just 3.5%..So trying to understand the downside risk here.
Amazing Subscriptions ! However , Some things comes up on mind > Anil Dhirubhaai Ambani, R Power, R Communication Etc..... So even though heart pushes on subscription, Mind reminding ... Betaaa...dimag ke saath !