BLEAK FUTURE

With merger between RCom and Aircel falling through, the biggest concern for RCom will be to deal with its high debt, estimated at ` 44,345 crore. The merger was expected to reduce the debt load significantly as about ` 20,000 crore could have been transferred to the joint venture entity.

The other big worry for RCom is falling market

share. According to brokerage firm CLSA, RCom’s mobile operations have seen revenue market share fall 11 percentage points, from its peak of 14 per cent to a mere 3 per cent now. The telco got relief from its creditors in the form of standstill on its outstanding debt that will last up to December 2018.

RCom was aiming to

close three deals –a merger with Aircel, another merger with MTS and 51 per cent stake sale in the towers business. While the Aircel deal has failed, the other two are yet to be completed.

RCom is now betting on the sale of its prime real

estate assets in Mumbai and New Delhi, in addition to stake sale in its towers business, to pay off its debt partially.