Reliance Jio transfers fibre and tower infrastructure to InvITs

To deleverage its balance sheet, Reliance Jio Infocomm (RJio) has completed the transfer of its optic fibre cable and tower infrastructure to two infrastructure investment trusts (InvITs). The two entities — Digital Fibre Infrastructure Trust and Tower Infrastructure Trust — had been set up by a wholly-owned subsidiary of Reliance Industries (RIL), the company told the stock exchanges on Monday night. RIL had indicated the plan in January, for asset monetisation, higher earnings and lower capital expenditure.

RIL shares closed on Tuesday at Rs 1,388.45 on the BSE, down 0.2 per cent from Monday. Jio has around 220,000 towers and 300,000 km of fibre. The optic fibre cable infra was with Jio Digital Fibre (JDFPL) and the tower infra with Reliance Jio Infratel (RJIPL). JDFPL has allotted Rs 500 crore of equity to the shareholders of RJio; RJIPL has done so for Rs 200 crore of equity shares.