Brookfield to invest Rs 25,215 crore in Reliance's tower arm
Reliance on Friday reported 6.82 per cent year-on-year rise in consolidated net profit at Rs 10,104 crore.
Reliance Industrial Investments and Holdings Limited, a wholly-owned subsidiary of Reliance Industries Limited, said Friday that it has entered into an agreement with an affiliate of Brookfield Asset Management Inc. for the investment by Brookfield along with co-investors, the company said in a statement while issuing its results for the quarter ending June 2019.
“Proceeds from the investment by Brookfield will be used to repay certain existing financial liabilities of RJIPL and acquiring the balance 49% of equity share capital of Reliance Jio lnfratel Private Limited (RJIPL), currently held by RIL,” the company added.
The units are proposed to be issued by the Tower Infrastructure Trust in accordance with the Securities and Exchange Board of India (Infrastructure Investment Trusts) Regulations, 2014.
“Brookfield's investment is subject to conditions precedent, including receipt of requisite government and regulatory approvals. RIIHL is the sponsor of the Trust and the Trust currently holds 51% of the issued and paid up equity share capital of RJIPL to which the tower assets undertaking of Reliance Jio lnfocomm Limited was transferred as a going concern pursuant to a scheme of arrangement sanctioned by NCLT, Ahmedabad bench,” the company added.