Malaysian telecoms giant Maxis is reportedly set to inject up to Rs50bn (US$893m) into its Indian mobile subsidiary Aircel in order to help the struggling carrier refinance Rs195bn (US$3.5bn) worth of debt.
According to the Times of India, Aircel, which…
Malaysian telecoms giant Maxis is reportedly set to inject up to Rs50bn (US$893m) into its Indian mobile subsidiary Aircel in order to help the struggling carrier refinance Rs195bn (US$3.5bn) worth of debt.
According to the Times of India, Aircel, which is 74%-owned by Maxis, is also planning on selling some of its BWA spectrum.
A week ago, the Indian operator reportedly appointed SBI Capital for advice on a debt restructuring. Citing people close to the matter, the Times of India wrote that Standard Chartered and IDFC are advising Maxis on the equity infusion.
First reports that Aircel’s lenders were exploring options to turn the company around emerged several weeks ago.
Besides a cash injection from Maxis and a BWA spectrum sale, Aircel reportedly considered a merger with rival Tata Docomo. However, the carrier’s owners – India’s Tata Group and Japan’s NTT Docomo – were said to be reluctant to take on Aircel’s debt.
Maxis and Aircel were not immediately available for comment.
