CCI approves Reliance's divestment of Jio tower assets

NEW DELHI: Fair trade regulator CCI has approved divestment of Reliance Jio's telecom tower assets to Canada's Brookfield Infrastructure Partners LP and other investors.

The other investors include British Columbia Investment Management Corporation, GIC Infra Holdings Pte Ltd's subsidiaries Anahera Investment Pte Ltd and Valkyrie Investment Pte Ltd.

In a tweet on Monday, the regulator said it "approves subscription of the units of Tower Infrastructure Trust by BIF IV Jarvis India Pte., British Columbia Investment Management and GIC Investors."

The proposed transaction involves the acquisition of indirect control of Reliance Jio Infratel Pvt Ltd (RJIPL) by Jarvis, the Competition Commission of India (CCI) noted in a combination notice filed with it.

Tower Infrastructure Trust, an INVIT, currently holds 51 per cent of the outstanding equity share capital of RJIPL. Current Sponsor of the INVIT is Reliance Industrial Investments and Holdings Ltd (RIIHL).

The deal, as per the notice, is subject to receipt of requisite approvals from markets regulator Sebi. Jarvis would execute the "deed of accession" to the trust deed and be designated as one of the sponsors to the INVIT in addition to RIIHL.

Besides, Jarvis would subscribe to the majority of the units to be issued by the INVIT.

"Jarvis, subscribing to the units of the INVIT, subject to receipt of necessary approvals from SEBI, will discuss and mutually agree with the Parties on suitable mechanism, in accordance with the provisions of SEBI INVIT Regulations, for change of the current investment manager to an entity nominated and controlled by Jarvis," the notice said.