Reliance Communications (RCom) has signed binding agreements with Brookfield Infrastructure in relation to the acquisition of company’s nationwide tower assets by affiliates of Brookfield Infrastructure Partners LP and its institutional partners. The company will receive an upfront cash payment of Rs 11,000 crore ($ 1.6 billion) on completion of the transaction.
The company will also receive Class B non-voting shares in the new Tower Company, providing 49% future economic upside in the Towers business, based on certain conditions. RCOM’s telecom towers will be demerged into a separate new Company that will be 100% owned and independently managed by Brookfield Infrastructure, thereby creating the second largest independent and operator-neutral Towers company in India.
Reliance Communications is India’s foremost and truly-integrated telecommunications service provider. The company has a customer base of over 111 million, including over 2.6 million individual overseas retail customers.
