Reliance Infrastructure promoters plan to raise shareholding

By Sarkaritel June 24, 2020 07:40

Mumbai, June 24  Reliance Infrastructure Chairman Anil Ambani said on Tuesday that promoters of RInfra are planning to raise their shareholding in the company.

Promoter shareholding in the company as of March 31, 2020 stood at 14.70 per cent, of which Anil Ambani’s family holds 0.25 per cent. Reliance Project Ventures and Management holds 10.61 per cent, while Reliance Big Private Limited holds 3.83 per cent.

Speaking at the Annual General Meeting of Reliance Infrastructure, Ambani also said that the company will be debt free during the current financial year.

The Chairman also announced to forego his compensation for the current financial year. The management of the company and the employees have also agreed on reduction in compensation up to 50 per cent.

He also assured the shareholders that no potential liability will impact the operations of the company.

Regarding the claim of Chinese Banks, he said that the loan in respect of which the proceedings have been initiated was not for any personal borrowing, but for a corporate loan which was availed by Reliance Communications in the normal course of business in 2012 from a consortium of three Chinese banks — CDB, ICBC and C-EXIM — for global refinancing.

Ambani noted that the guarantee on the basis of which the claim was made was admittedly not signed by him. In fact, he had only signed a power of attorney limited to executing a non-binding letter of comfort to the Chinese Banks.

As per the UK Court’s order, the final amount owed under the alleged guarantee will be assessed based on the outcome of the RCOM insolvency resolution process. In addition, he will avail all available legal remedies in India to protect his interest.

With regard to the proceedings filed by the SBI, Ambani emphasised that this also does not relate to any personal borrowing, but arose out of a guarantee given for a loan which was availed by Reliance Communications and Reliance Infratel way back in 2016 to repay the debts of Chinese and certain other Indian Banks.

The Chairman reassured fellow shareowners that none of these potential liabilities, if any, would have the slightest bearing whatsoever on the operations of the company, Reliance Infrastructure Ltd, or its bright future prospects.

He also reassured the fellow shareholders that his sole desire was to assist the RCom Group, and not to make any personal gains. It was also to demonstrate his unflagging commitment to the best interests of all the stakeholders.

By Sarkaritel June 24, 2020 07:40