Lender repays term transfers €1,104CR McLeod Russel debts for 5 years

Kolkata, March 16 (PTI), McLeod Russel India Limited (MRIL), a coalition of lenders batch tea producer, has transferred its debt exposure to National Asset Reconstruction Company Limited (NARCL) ₹Sources said Sunday that the $7 billion hairstyle is 36%.

debt ₹They said that over the next five years, 110.469 million were sold at a cash-to-safe income (SR) structure of 15:85, of which 15% of the deliberations were to be paid in advance and the remaining 85%.

Swiss Challenge Auction of Basic Value Debt Transfer ₹A businessman banker official who participated in the deal said that due to extremely bad sentiment towards the tea industry, there were Rs 7 billion without a bid for the offer against NARCL.

this ₹7 million debt transactions are considered significantly lower than previous attempted one-time settlements (OTS) ₹The 10.3 million carbon resources support failed due to a lack of consensus among lenders.

McLeod officials said the development was a positive step that would allow the company to negotiate with only three debtors (Narcl, JC Flowers Arc and Indusind Bank) compared to only three banks.

“We didn’t get out of the woods, but it will help the company have time to turn around and avoid the assets being sold in distress,” one official said.

As of June 30, 2024, McLeod Russel ₹1461.06 million, including debts allocated to another private asset reconstruction company and industrial bank, which do not fall into this transaction.

NARCL is expected to work closely with existing management to reorganize the company. However, there are no immediate comments.

Based on financial due diligence, lenders expect to recover additional net returns approximately ₹After the SRS is fully redeemed, there are Rs 270 crore.

McLeod informed Bourses that Narcl took over the loan from a consortium led by ICICI Bank which owns the National Bank of India, HDFC Bank Limited, Axis Bank Limited, Punjab National Bank, UCO Bank, UCO Bank, India Bank and RBL Bank.

ICICI bank officials declined to speak on details.

The company’s loan was classified as a non-performing asset (NPA) in October 2019, due to financial pressures caused by long-term decline in tea prices, rising costs and unrecovered loans to group entities, especially McNally Bharat Engineering Co Ltd, which is accepting weak lawsuits.

Promoted by the Khaitan family, McLeod Russel operates 31 teahouses in Assam and 2 teahouses in West Bengal, with a sales of 2.9 million kilograms in FY24, with a workforce of more than 50,000 employees.