Reliance Jio transfers controlling stake in fibre and tower units to RIIHL trusts

Reliance Jio has transferred control of its fibre unit, Jio Digital Fibre Private Limited (JDFPL), and tower unit, Reliance Jio Infratel Private Limited (RJIPL), to two infrastructure investment trusts (InvITs) – the Digital Fibre Infrastructure Trust and the Tower Infrastructure Trust. The InvITs have been set up by Reliance Industrial Investments and Holdings Limited, a wholly owned subsidiary of Reliance Industries. According to Reliance Jio, the stake transfer will result in significant deleveraging of its consolidated balance sheet as of March 31, 2019. The Digital Fibre Infrastructure Trust and the Tower Infrastructure Trust have acquired a 51 per cent stake each in Jio’s fibre and tower units for Rs 2.62 billion and Rs 1.09 billion respectively. In addition, JDFPL and RJIPL have also allotted shares worth Rs 5 billion and Rs 2 billion respectively to Reliance Jio shareholders.

GET ACCESS TO OUR ARTICLES

Enter your email address