RCOM to sell tower, optic fibre biz to PE firms for Rs 30,000 crore
- Reliance Communication will sell its tower and optic fibre assets in India to private equity firms TPG and Tillman Global in a deal estimated at about Rs 30,000 crore.
- RCOM intends to utilise the proceeds of the proposed transaction to reduce its debt, which is estimated at about Rs 40,000 crore. The company said in a statement that “a non-binding term sheet” has been signed for the proposed acquisition of RCom’s nationwide tower assets and related infrastructure by Tillman and TPG Asia.
- While the company did not disclose the deal size, sources said the proposed transaction values RCOM’s mobile towers at about Rs 22,000 crore and the valuation of the related infrastructure including optic fibre assets, is estimated at about Rs 7,000-8,000 crore. This would be one of the biggest transactions in the Indian telecom sector.
Rs 42,000 crore disbursed under Pradhan Mantri Mudra Yojana
- The government is taking steps to provide the required credit to the MSME sector even as Rs 42,000 crore have been disbursed under the Pradhan Mantri Mudra Yojana alone, Minister of State for Finance Jayant Sinha told Lok Sabha today.
- Around 66 lakh people have benefitted so far from the Yojana under which loans up to Rs 10 lakh are given for enterprises and trades.
- The Minister said Rs 42,000 crore has been given so far under the Mudra Yojana, which was launched in April this year.
- When some members said banks are not extending enough credit to MSMEs (Micro, Small and Medium Enterprises), he said there are guidelines in place for extending loans to the sector.
- Under the revised priority sector lending guidelines, a target of 7.5 per cent of adjusted net bank credit or credit equivalent amount of off-balance sheet exposure — whichever is higher — has to be lent by the scheduled commercial banks to micro enterprises.
- Sinha said over Rs 1 lakh crore worth credit guarantee has been extended under the credit guarantee fund trust for micro and small enterprises as on October 31 this year.
China’s President Xi Jinping pledges $60 billion for development in Africa
- China’s President Xi Jinping told African presidents on Friday at a summit that his country would provide $60 billion over three years to fund development on the continent.
- Xi, who is co-chairing the Forum on China-Africa Cooperation where several African heads of state were attending, outlined a broad ten-point development plan driven by the Asian economic giant, saying he wanted to build a relationship of equals.
- “To ensure the successful implementation of these ten cooperation plans, China decides to provide a total of $60 billion of funding support,” Xi told the summit.
Flipkart to grab 34% stake in MapyMyIndia for Rs1600 crore.
- Flipkart, India’s most valuable startup, is picking up a little over 34% stake in digital mapping firm MapmyIndia, in a deal that values the Delhibased mapping company at around $260 million or Rs 1,600 crore.
- For Flipkart — which said the deal is expected to give it a competitive edge in terms of supply chain and logistics in a statement on Thursday — this investment is likely to be one of the largest strategic investments made by the Bengaluru company which was estimated to be worth about $15 billion.