Bondholders and lenders of GVK Power Goindwal settle disputes over priority payment

Mumbai: The bondholders of GVK Power (Goindwal Sahib) and its lenders have decided to amicably settle the dispute over the priority of dues of about Rs 295 crore.

In June, IDBI Trusteeship had approached the court on behalf of DB International (Asia), an affiliate of Deutsche Bank, seeking the court’s intervention to get about Rs 295 crore under the Trust and Retention Account (TRA) Agreement from the IDBI Bank. The bondholders claimed that being priority lenders, they have right over the money over the banks.