RCOM completes sale of fibre to Jio

28 Aug 2018

Reliance Communications (RCOM) has begun transferring its assets to Reliance Jio Infocomm (Jio) as it completes its long-delayed asset monetisation programme. The operator announced yesterday that it had completed the sale of 178,000km of fibre infrastructure and related assets, valued at INR30 billion (USD428.5 million), to Jio. The announcement follows confirmation from RCOM last week that it had transferred to Jio 248 Media Convergence Nodes (MCNs) worth a total of INR20 billion. A major component of the monetisation programme is still in question, however, as the Department of Telecommunications (DoT) is expected to require RCOM to submit bank guarantees totalling between INR28 billion and INR29 billion for spectrum usage charges (SUC) as a condition of its approval for the transfer of its spectrum to Jio. RCOM previously agreed to hand over 122.4MHz of spectrum in the 850MHz, 900MHz, 1800MHz and 2100MHz bands, but announced recently that it would sell an additional 65MHz of 800MHz spectrum to the cellco for between INR35 billion and INR37 billion.

India, Department of Telecommunications (DoT), Reliance Communications (RCOM), Reliance Jio Infocomm (Jio)