Looking to reduce its debt burden, Anil Ambani-led Reliance Communications (RCom) on Tuesday said it was evaluating offers from several parties for a controlling stake in its tower infrastructure arm, Reliance Infratel.
"The board of directors of RCom was informed of the receipt of formal indicative offers from several interested parties, for the acquisition of RCom's controlling interest in Reliance Infratel," the company said in a statement.
"The board noted that, based on the indicative offers, completion of such a transaction would facilitate RCom's stated objectives of achieving a substantial reduction of its overall debt position, and staying well within its targetted long-term leverage ratios. Accordingly, the board has approved taking the process to the next stage of detailed due diligence," the statement said.
RCom had last year announced a deal worth Rs 50,000 crore to sell Reliance Infratel to GTL. However, the deal fell through in September and though the two companies did not give any reasons for calling off the deal, sources said the two sides could not agree on the financial structuring of the deal.
As on March 31, RCom's net debt stood at R32,048.5 crore. If it is able to sell Reliance Infratel, a significant chunk of its debt is likely to go away.