The Anil Ambani-led Reliance Communications Ltd on Thursday signed “definitive binding agreements” to sell its wireless assets to Reliance Jio Infocomm Ltd, run by older brother Mukesh Ambani, both companies said in statements to the Bombay Stock Exchange and the National Stock Exchange.
The debt-ridden Reliance Communications will sell all spectrum, tower, fibre optic and other telecom infrastructure assets.
The sale ends a 12-year rift between the two companies. A feud between the brothers in 2005 led to the split of Reliance Industries – Mukesh Ambani kept the oil and gas business, while Anil Ambani took over telecom and power.
On Tuesday, Anil Ambani announced that R-Com had non-binding offers from 15 firms for the sale, Reuters reported. The deal will help the company cut its debts by Rs 39,000 crore.
“Reliance Jio emerged the highest bidder in a transparent process conducted under the supervision of a high-powered Bid Evaluation Committee,” Reliance Communications said.
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