ENIL to sell the equity stake in TIM

Additionally, BCCL will repay ENIL's loan to TIM and also absorb the obligations under the financial guarantees provided by ENIL on account of TIM as on the date of the proposed transaction.

As on July 8, 2010 the loans advanced by ENIL to TIM and the financial guarantee obligations of ENIL on account of TIM were Rs. 42.50 crores and Rs.31.23 crores respectively.

The sale is subject to the execution of a satisfactory Sales and Purchase Agreement between ENIL & BCCL. BCCL has reserved the right to effect the purchase either directly or together with its other affiliates or through its other affiliates.

BCCL is the ultimate holding company of ENIL. TIM is a subsidiary of the Company. ENIL currently owns 83.44% of TIM.