Mukesh Ambani-led Reliance Jio has pipped rival Bharti Airtel as well as UV Asset Reconstruction Company to emerge as the top contender to acquire debt-ridden Reliance Infratel, two people aware of the development told CNBC-TV18.

Reliance Jio offered Rs 3,609 crore for financial creditors of Reliance Infratel, whereas Bharti Airtel is understood to have offered Rs 1,439 crore for financial creditors and another Rs 360 crore for operational creditors, as per the people quoted above. UVARCL had offered Rs 5 crore upfront cash settlement and Rs 2,450 crore long term zero-coupon bonds for Reliance Infratel, the person added.

Lenders to Anil Ambani led Reliance Communications, Reliance Infratel, and Reliance Telecom on Tuesday declared the highest bidder (H1) for each, three people aware of the development told CNBC-TV18 on the condition of anonymity.

Bharti Airtel, which had submitted bids for all three companies, has not been declared the highest bidder for any of them, said senior banking executives on the condition of anonymity.

UV Asset Reconstruction Company has been declared the highest bidder for both Reliance Communications and Reliance Telecom, two people aware of the development told CNBC-TV18.

UVARCL offered Rs 5 crore cash settlement, and Rs 9,100 crore in the form of long term zero-coupon bonds for Reliance Communications, whereas Bharti Airtel had submitted a bid of Rs 680 crore for financial creditors, and Rs 170 crore for operational creditors, and Varde Partners Rs 49 crore upfront to lenders, Rs 2,320 crore in the form of long term zero-coupon bonds and Rs 8,760 crore junior unsecured debt, added one of the people quoted above.

For Reliance Telecom, Bharti Airtel had submitted a bid of Rs 104 crore, including Rs 83 crore for financial creditors and Rs 21 crore for operational creditors, and Varde Partners is understood to have offered Rs 1 cr upfront, and Rs 32,692 in the form of various long term debt instruments, as per sources. However, lenders have decided to declare UVARCL as the highest bidder with an offer of Rs 11 crore upfront cash settlement, and Rs 910 cr long term zero-coupon bonds.

While Mukesh Ambani led Reliance Jio had only bid for Reliance Infratel, Bharti Airtel and UV Asset Reconstruction Company (UV ARCL) had bid for all three and US-based Varde Partners submitted a bid for Reliance Communications and Reliance Telecom, the people quoted above said.

The three Anil Ambani group companies are collectively facing claims of over Rs 86,000 crores under NCLT. Reliance Communications is facing claims of over Rs 49,190 crore, Reliance Telecom over Rs 24,300 crore and Reliance Infratel over Rs 12,600 crore.

Disclosure:

RIL, the promoter of Reliance Jio, also controls Network18, the parent company of CNBCTV18.com.

First Published:Jan 14, 2020 6:45 PM IST