RCom shares fall after rating downgrades

Mumbai: Shares in Reliance Communications were down 2.2 percent in pre-open trade after credit rating agencies Moody's and Fitch downgraded the company to default levels, their second rating cut in as many weeks.

Shares in the company were at 19.70 rupees in pre-open trade versus their previous close of 20.15 rupees on Tuesday.

RCom had on Friday secured a seven-month reprieve from lenders on its debt servicing obligations. The banks will consider converting part of their debt to equity if the company does not repay loans as planned by end-December.