RCom shares fall as DoT eyes invoking firm's bank guarantees

NEW DELHI: Shares of Reliance Communications fell nearly 6 per cent on Friday following reports that the Department of Telecommunications (DoT) is invoking bank guarantees to recover Reliance Communications’ (RCom) latest spectrum dues.

With this, the stock has extended its losing streak to the eighth successive session.

DoT is invoking bank guarantees (BG) to recover Reliance Communications’ latest spectrum dues and is set to issue a notice asking why the airwaves shouldn’t be withdrawn, adding to the woes of the telco whose chairman Anil Ambani faces jail for not paying a vendor, an ET report suggested.


On Wednesday, lenders of the Anil Ambani-led company sold 12 crore pledged shares, which was around 4.34 per cent stake of promoters in the firm. The sale was a result of lenders invoking shares pledged with them.

The pledged shares belonged to promoters including Ambani, his family members and RCom group entities, according to a BSE filing.

Shares of the company closed 5.97 per cent down at Rs 4.41 on BSE.