Mutual Funds Commodities Research Tax Planning IPO Our Team Contact Us    
Google
Web www.equitybulls.com
Industry News

| More

IL&FS board upgrades estimates of debt addressed to over Rs. 57,000 crore

Posted On: 2020-07-20 01:23:54


The New Board of IL&FS Limited today shared an update on the progress of the ongoing resolution process across the Group and revised its estimates of debt being addressed to well above 50 per cent of the overall debt of over Rs 99,000 crore.

The aggregate value of debt being addressed is now estimated as over Rs 57,000 crore - with around Rs 50,500 crore likely to be addressed by March 2021.

The revised value accounts for over 57 per cent of overall debt and is significantly higher than the average realization, till date, for Financial Creditors under the IBC process.

The New Board, appointed by the Central Government, led by Mr. Uday Kotak as Non-Executive Chairman, Mr. Vineet Nayyar as Vice Chairman, Mr. C S Rajan as MD and Mr. Bijay Kumar as Deputy MD, along with other officials - highlighted the key initiatives taken, progress made till June 30, 2020, and revised timelines to complete the resolution process for the IL&FS Group, at a media briefing held earlier today.

IL&FS has, till June 30, 2020, addressed debt of Rs 17,640 crore from a combination of - completed asset sales, debt repayment to Green Entities, debt discharged in Non-Green entities and available cash balance across the Group.

The New Board also shared a quarterly plan that estimates addressing additional debt of Rs 8,800 crore by Q2FY21; Rs 18,000 crore by Q3FY21 and over Rs 6,000 crore by the end of Q4FY21 - aggregating to Rs 50,500 crore by end of FY2021.

Efforts towards resolution of additional debt of Rs 6,600 crore are likely to continue beyond FY21, as the New Board expects the resolution of major holding companies to take a longer time.

The New Board of IL&FS has developed a unique "Group resolution framework" that received NCLAT approval on March 12, 2020. The framework can form a benchmark for future group insolvencies in the country.

The IL&FS New Board has been following a three-pronged strategy - Resolve, Restructure and Recover - while adopting an approach of equitable distribution and balancing interests of stakeholders across the IL&FS Group under IBC and Corporate Finance principles, to resolve over Rs 99,000 crore funded and non-funded debt of the Group.

As part of the resolution efforts, IL&FS also proposes to set up one of the country's largest InvITs with a target gross value of Rs 13,000 crore, which includes 3 SPVs where debt of Rs 5,000 crore has been restructured. The Group is in an advanced stage of concluding the sale process of 15 entities with resolution of nearly Rs 8,500 crore and plans restructuring additional debt of Rs 4,900 crore.

The New Board has till date met 42 times since October 2018 to ensure governance and vigorous oversight of the resolution process; total number of entities have been reduced from 347 to 276, which is expected to further reduce to around 60 entities by March 2021. The New Board has taken multiple steps and ensured preservation of key national road and power assets.

All this would however not have been possible without the help, guidance and support provided by the MCA at all stages in the resolution process as well as the moratorium cover extended by the NCLAT order.


Source: Equity Bulls

Click here to send ur comments or to feedback@equitybulls.com





Other Headlines:

Bharti AXA Life Insurance launches Bharti AXA Life Wealth Pro

SIDBI and CRIF India collaborate to introduce sector-based insight reports 'Industry Spotlight'

SIDBI joins hands with Government of Gujarat for the Development of MSME ecosystem in the State

FAITH asks Anti-competitive travel tax TCS to be withdrawn

ESAF Small Finance Bank Announces Fintech Conclave 2020

Micro ATM is a game changer in India - Says RapiPay

ClearTax amongst 20 Indian startups in CB Insights' World's Most Promising Fintech list

Liberty General Insurance Receives INR 100 Crore Capital Infusion from Promoter Group

SIDBI and TransUnion CIBIL launch MSMESaksham

Tata AIA appoints Naveen Tahilyani as Chief Executive officer and MD

Sharekhan just went Bollywood ! Launches MoneyFLIX, World's First Financial Movies Platform

Angel Broking becomes 4th largest brokerage house in the country based on active clients at the NSE

Upstox Registers 1 Million Customers; Aims to Double by December 2020

Reliance Securities launches new referral programme to provide enhanced digital experience to customers

RankMF Launches India's First Mutual fund Portfolio Sanitization Tool: SmartSwitch

Blue Ashva Capital announces initial close of SME focused India Fund

Convergent Finance LLP announces USD14.1 mn investment in Jyoti International Foods

Angel Broking records highest monthly client addition of 1Lakh +

Universal Sompo General Insurance Company Limited has announced the appointment of Sharad Mathur as its Managing Director & CEO

Sonalika Tractors Records 18.6% Overall Sales Growth in May'20

Upstox revamps its trading platform; introduces Pro Web 3.0

SATYA MicroCapital Ltd. gets MFI Grading uplift from ICRA

Indian Space Technology Startup VestaSpace Technology Receives USD 10 million Funding from US-based Next Capital LLC

ICAI Stands with Government to fight against COVID 19

Honda 2Wheelers India pledges support to its dealer family to maintain business continuity

Moneycontrol Pro reaches a new milestone - 1.5 lakh paying subscribers

Former Executive Director, RBI - Mrs. Surekha Marandi joins SATYA MicroCapital Limited as Independent Director

Arcil commits Rs. 1.5 Crore towards India's fight against COVID-19

Cognizant to acquire Lev to expand Digital Marketing expertise

Hon'ble Finance Minister reaches out to CAs for promoting Vivad se Vishwas scheme

SIAM numbers - Suman Chowdhury, President - Ratings at Acuité Ratings & Research Ltd

Sterlite Power Concludes Sale of Novo Estado

mastertrust Slashes its Trading Fees to Zero, on the MobileApp, for Millennial

CAMS FinServ receives RBI license for Account Aggregator service

Brookfield Properties bags four awards at the ET Now Global Real Estate Congress Awards 2020!

RXIL Digitizes its MSME Onboarding using Jocata GRID

Indian Exhibition of Air Conditioning Industry Draws International Attention

India Post Payments Bank Crosses Milestone of 2 Crore Customers

EFL revolutionises AC's by launching Health Conditioners

BankBazaar Looking to End FY20 at EBITDA Profitability Despite Tough Year for Fintech

Sapient Wealth Advisors organises its 11th annual conference in Pune

ICAI sign MoU with IIM Jammu

Venture Garage Conducts 5th and Final Leg of 'Find Your Investor' Programme in Chandigarh, Supported by Kotak Mahindra Bank

BRICS CCI announces Direct Tax Summit & Awards 2020 in association with Achromic Point

ETMONEY introduces the National Pension System (NPS) on its App

Anviti Insurance Brokers Expands Presence in India, Opens its 7th Office in Delhi NCR - Noida

Global shrimp demand and prices contract following the n-coronavirus pandemic: ICRA

ICAI 70th Annual Function

ETMONEY unveils India's first and only tax saving solution

Cashfree introduces 'Instant Settlements', makes online payments as attractive as cash







Website Created & Maintained by : Chennai Scripts
West Mambalam, Chennai - 600 033,
Tamil Nadu, India

disclaimer copyright © 2005 - 2019