Reliance Communications Ltd. has entered negotiations to sell its enterprise communications assets for about $1.2 billion, which would mark its exit from Indian telecoms, the Financial Times reported, citing sources.
The assets would reportedly include the indebted company's international submarine cable network, fixed-line telecoms network and data centers in India.
Five companies, including I Squared Capital, have showed interest in acquiring all or part of the assets, two sources said.
Hong Kong-based PCCW Ltd. and Russia's Sistema PJSFC are also considering acquiring the assets, but have not yet submitted a formal bid, three unnamed sources told the FT.
RCom Chairman Anil Ambani is said to be interested in keeping some of the assets or retaining an equity stake.
Also, India's Supreme Court denied a stay on RCom's assets sale to Reliance Jio and is seeking involved parties to file submissions by March 28, The Economic Times of India reported, citing agencies.
In October 2017, the Indian telco unveiled a debt resolution plan to pay off up to 170 billion Indian rupees through asset monetization involving RCom's spectrum, multiconvergence nodes and tower and fiber assets.
Reliance Jio then agreed in December 2017 to acquire RCom's wireless spectrum, tower, fiber and media convergence node assets. The operator also revealed plans to cut its debt by 85% through selling assets and receiving equity from global strategic partners.
As of March 21, US$1 was equivalent to 65.21 Indian rupees.