RCom plunges 6% as NCLT seeks details of Ericsson dues

NEW DELHI: Shares of Reliance Communications (RCom) fell over 6 per cent on Friday after The National Company Law Tribunal (NCLT) on Thursday asked Ericsson to file bank certificate detailing the amount that RCom owes it within seven days.

Following the development, the stock declined 6.33 per cent to close at Rs 14.05 on BSE. It opened at Rs 15 and touched an intraday high and low of Rs 15.05 and Rs 13,90 respectively

"On verification, court has noticed the copy of certificate from financial institutors has not been filed in petition. The petition is hearby directed to furnish the same within seven days," said the NCLT bench on Thursday comprising of Justices BSV Prakash Kumar and V Nallasenapathy.

In September, Ericsson filed for insolvency in the NCLT to recover Rs 1,150 crore from the operator for services and equipment supplied. Negotiations between the two to reach an out-of-court settlement have failed so far.

The NCLT will hear the case on November 23 to decide if Ericsson’s petition of should be admitted by the tribunal or not, ET reported.

Promoters held 59 per cent stake in the company as of September 2017.

The scrip touched its fresh 52-week high of Rs 44.25 on November 10, 2016 and its 52-week low of Rs 13.90 on November 10, 2017.