Reliance Communications gets RBI nod for refinancing FCCBs
February 16th, 2012 - 6:25 pm ICT by IANSNew Delhi, Feb 16 (IANS) Reliance Communications Thursday said it has received the Reserve Bank of India (RBI) approval to refinance the $1.18 billion (Rs.5,825 crore) of foreign currency convertible bonds (FCCBs) due on March 1.
The refinancing option is provided by the Industrial and Commercial Bank of China, Commercial Bank of China Ltd., and Export Import Bank of China.
“Reliance Communications Limited (RCOM) has received RBI approval for the refinancing being provided by ICBC (Industrial and Commercial Bank of China Ltd ), CDB (China Development Bank Corporation) and EXIM (Export Import Bank of China) for redemption of its outstanding FCCBs,” the company said in a statement.
The FCCBs will be redeemed on the due date of March 1, 2012, it added.
The telecom service provider also said it would benefit from extended loan maturity of 7 years and attractive interest cost of about 5 percent.
Reliance Communications had last year paid Rs.8,585 crore towards spectrum fee for offering 3G services in 13 telecom circles in India.
The firm is using a portion of the funds in re-financing the short term debt and the rest for equipment imports from Chinese vendors.
The re-financing will result in substantial savings in its interest cost apart from extending the company’s debt maturity profile, the Anil-Ambani led firm said.
- Reliance Communications ties up refinancing for FCCB worth $1.18 bn - Jan 17, 2012
- Reliance Communications pays $1,182 million to redeem FCCBs - Feb 29, 2012
- Reliance draws second tranche of loan - May 12, 2011
- Reliance Communications raises $255 mn for part-finance of 3G loan - Jan 18, 2011
- Reliance Communication to get $1.93 bn from China Bank - Dec 15, 2010
- Reliance Power places $10-bn equipment order for 32,000 MW - Oct 28, 2010
- Reliance Communications revenue rises 4.4 percent in 2010-11 - May 30, 2011
- Reliance Power ties up Chinese bank funds for Sasan project - Dec 15, 2010
- Reliance Communications inks $1.9 bn loan deal with Chinese bank - Mar 09, 2011
- Reliance Communications gets $665 mn from Chinese bank - Mar 17, 2011
- Reliance Communications Q3 net profit up 7.7 percent - Feb 14, 2011
- Chinese bank opens two branches in Pakistan - May 21, 2011
- RCom merges tower business with GTL Infra - Jun 27, 2010
- Reliance Commercial Finance to move out of unsecured loans - Dec 06, 2011
- Anil Ambani meets CBI to clarify issues relating to telecom matters - Feb 16, 2011
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