Anil Ambani resigns as director of Reliance Communications

Anil Ambani has submitted his resignation as director of Reliance Communications, which remains under Corporate Insolvency Resolution Process (CIRP).

Four other directors, including Chhaya Virani, Ryna Karani, Manjari Kacker and

Suresh Rangachar have also submitted their resignation, Reliance Communications said in a statement to the exchanges. Manikantan V has also submitted his resignation from the office of director and as chief financial officer (CFO) of the company.

Reliance Communications also sought the approval for the appointment of D Vishwanath as executive director and chief financial officer from the Committee of Creditors.

Reliance Communications has posted a loss of Rs 30,142 crore, registering India’s second biggest quarterly loss after Vodafone Idea. The telecom operator, which stopped its services, was mainly hit due to provisioning for liabilities after the Supreme Court ruling on the AGR issue.

Reliance Communications has kept Rs 28,314 crore as provision after the Supreme Court order on calculation of annual adjusted gross revenue (AGR) of telecom companies.

The revenue of Reliance Communications from operations dipped to Rs 302 crore during the quarter from Rs 977 crore in the comparable period previous fiscal.

Meanwhile, the lenders have received bids from Bharti group companies – Bharti Airtel and Bharti Infratel — and private equity investor Varde Partners for selling the assets of Reliance Communications.

Reliance Jio, which has sought an extension, is expected to submit its bid shortly. Bidders are looking for buying spectrum in the 850 MHz band in 4G in 14 of India’s 22 telecom circles, around 43,000 telecom towers and fibre network.

Reliance Communications’ total debt to financial creditors stands at Rs 51,141 crore, while the secured debt is estimated to be Rs 33,000 crore.