Now, Bharti Infratel & Indus Object to RCom-Aircel Merger
Mumbai: Tower companies Bharti Infratel and Indus Towers are the latest to object to a proposal to merge Reliance Communications’ wireless business with Aircel, being heard in the National Company Law Tribunal (NCLT).
Both Bharti Infratel and Indus Towers on Thursday said they needed clarity on how their dues will be paid off by RCom if the merger goes through, while DoT reiterated its Wednesday’s stance that the two telcos would need permission from the Supreme Court for the merger since a 2G-related case is pending before the top court. Shares of RCom dropped 7.78% on Thursday to close at ₹ 23.10 a piece on BSE. An NCLT bench of judges BSV Prakash Kumar and V Nallasenapathy will continue to hear the admission plea on Thursday, August 10.
Infratel and Indus Towers have joined equipment supplier Ericsson, which have outstanding dues to recover from RCom, and GTL Infrastructure’s Chennai Network Infrastructure, which had bought 17,500 mobile towers from Aircel, to object to the merger proposal being heard by the tribunal.
“Post the demerger, assets will be handed over to the new company formed and my client will be left with the liabilities of a shell company,” said the counsel representing Bharti Infratel. “How it will pay off the debts, what its business will be, we have no clarity on that.”
The creditors said a meeting needs to be convened to discuss the proposed merger before it is taken up by NCLT.