FCC

DAKC will be up for sale

2023-01-25

Reliance Realty Ltd. (RRL) and Campion Properties Ltd. (CPL), two subsidiaries of Reliance Communications (RCom), have begun selling properties, including the Dhirubhai Ambani Knowledge City (DAKC) complex, which housed the bankrupt telco's headquarters.

In a filing, RCom stated, "...the board of directors of two wholly owned RCom subsidiaries, RRL and CPL (referred to as "selling companies") have approved initiation of sale process for certain properties owned by such selling companies"—including the DAKC.

Since RCom is their sole shareholder, the bankrupt telco, which is undergoing insolvency proceedings, claimed that both selling companies had informed it of the proposed sale procedure. The selling companies have informed us that the proposed process for finding potential buyers is being started. When the terms of the sale are finalised, they will each approach RCom for the necessary approvals in its capacity as (their) shareholder.

RCom added that despite the fact that the company's resolution professional has discussed the issue with the committee of creditors (CoC), the committee has not yet approved the sale of these properties.

Over the past four and a half years, RCom, Anil Ambani's telecom company, has been going through corporate insolvency resolution. In May of 2018, the business was taken to the bankruptcy courts, and in 2019 it began the Insolvency and Bankruptcy Code (IBC) process.