Air India avoids default; secures refinance loan to service Rs 700-cr NCDs
Mumbai: Averting a default, Air India has secured short-term funds to service Rs 700 crore worth non-convertible debentures ( NCDs) due for redemption on Thursday, according to a source.
The debt-laden national carrier’s operations and revenue flow have been crippled by coronavirus outbreak, which has also resulted in suspension of domestic and international flights.
On March 23, India Ratings warned that the national carrier may default on the debt payment, given the poor cash flow position after the announcement of the closure of national airspace.
