Moody: Reliance credit rate will not be effected by RCom sale

The assets of Reliance Communications are going to be acquired by some other company soon but due to sale of Rcom the credit rating of Reliance Industries will not be effected was said by Moody s.The RCom assets acquisation will happen at less than Rs 25,000 crore accrodng to Moody s."RIL had cash and cash equivalents of Rs 77,000 crore, which can be used to fund the acquisition," says Vikas Halan, a vice-president and senior credit officer at the global ratings agency said today.Even assuming that RIL pays Rs 25,000 crore for the assets, Halan said "it accounts for only 0.4 per cent of RIL s pretax profit for the last one year, and 11.6 per cent of its consolidated borrowings as of September 2017.""Therefore, Moody s Investors Service sees no impact on RIL s ratings following the acquisition of RCom," Moody s that has a Baa2 rating on RIL with stable outlook, said.