China's largest loan to India: RCom gets over Rs 8700cr

Reliance Communications (RCOM) signed final documentation with China Development Bank (CDB) for a Rs 6,000 crore (USD 1.33 billion) loan facility. The loan facility is fully underwritten by CDB, and will be funded by a syndicate of Chinese Banks/Financial Institutions including CDB.  This represents the first and largest ever Syndicated Loan for refinancing Spectrum Fees.

RCOM has also signed an additional Agreement for Rs 2700 crore (USD 600 million) with CDB, for financing imports / domestic expenditure of telecom equipment from Chinese vendors (namely, Huawei and ZTE).

RCOM has already received RBI Approval for the facilities, and draw down is expected to commence shortly.

The aggregate financing of Rs. 8,700 crore (USD 1.93 billion) has a maturity period of 10 years, contributing to significant extension of RCOM