IL&FS weighs plan to recast part of its stressed loans from banks, MFs
MUMBAI: Infrastructure Leasing and Financial Services Ltd (IL&FS) Tuesday said its board is considering a plan to recast some of its stressed loans from banks and mutual funds.
In an affidavit submitted to National Company Law Appellate Tribunal (NCLAT), IL&FS said its board is already considering a restructuring proposal from lenders for one of its special purpose vehicles (SPVs) in Uttar Pradesh. IL&FS also said it is willing to consider similar proposals for other troubled group firms to exit insolvency. The restructuring could involve seeking a reduction in interest rates and a modification of the terms of loans.
Lenders to Moradabad Bareilly Expressway Ltd (MBEL), an SPV building a state highway in Uttar Pradesh, have suggested releasing cash flows from the SPV’s bank accounts to the company’s financial and operational creditors.
