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Govt to revive TN optical fibre production unit
May 12, 2008: The government is planning to revive Tamil Nadu Telecommunications Ltd (TTL), a public sector optical-fibre maker, through a capital restructuring package.
TTL is jointly promoted by Telecommunications Consultants India Ltd (TCIL), which holds 30.67 per cent equity in the company, Tamil Nadu Industrial Development Corporation (TIDCO) (29.49 per cent), Japanese firm Fujikura (14.47 per cent) and the general public (25.37 per cent). The plan involves TCIL enhancing its equity share capital in the company to take a majority 51 per cent stake as well as provide bridge loans to the company.
Under the revival scheme, SBI has agreed to waive loans worth nearly Rs.10 crore, convert loans worth Rs.7.58 crore to equity and as per the one-time settlement be paid Rs.9.96 crore. Accordingly, the Department of Telecommunications (DoT) has proposed TCIL's equity share capital in TTL be increased to Rs.24.25 crore from Rs.6.96 crore, by converting loans and dues to equity.
Source: Business Standard