Newly-appointed advisors to the IL&FS Group are redrawing the list of assets, including road projects fetching regular annuities, which can be sold quickly to enhance liquidity and extricate operating units at the infrastructure financier out of a funds crunch. They will submit their plans by Saturday and the board will propose the plan before the NCLT on October 31. The IL&FS board has appointed Arpwood Capital and JM Financial as financial and transaction advisors to the IL&FS Group, and the firms are crafting the resolution plans.
The IL&FS fiasco has brought the question of relevance of rating firms to the fore. To err is human, but to remain blind to unfolding events is negligence. While there is a need for improvement in the way they function, they must also be aided by regulation to get all the information
Infrastructure Leasing & Financial Services Board on Monday appointed Arpwood Capital and JM Financial Consultants as Financial & Transaction Advisers to the IL&FS Group and Alvarez & Marsal as Restructuring Advisers to advise the newly constituted IL&FS board on resolution solutions and asset monetisation.
At a meeting of the Board of Directors of Infrastructure Leasing & Financial Services Ltd. (“IL&FS”) held last week, the Board has considered it important to harmonize all asset monetization activities, including ongoing initiatives, and to undertake the same in a transparent and speedy manner aligned with the broader objective of optimizing the interests of different stakeholders.
The Union of India (acting though the Ministry of Corporate Affairs) had filed an application with the National Company Law Tribunal, Mumbai Bench under section 242 of the Companies Act, 2013 on October 12, 2018 seeking a moratorium on creditor proceedings against IL&FS Limited (and its group companies) to enable formation of an orderly resolution plan in light of the current circumstances facing the IL&FS group. The NCLT declined (in its order of 12 October 2018) to grant such reliefs and an appeal was filed by the Union of India with the National Company Law Appellate Tribunal (NCLAT).
The Board of IL&FS Ltd., appointed on the orders of the National Company Law Tribunal Mumbai (“NCLT”), had its second meeting today. As permitted by the order dated October 9, 2018 of the NCLT, the Board has initiated the replacement of its nominee directors on various subsidiaries of IL&FS Ltd.
Pursuant to the orders of the National Company Law Tribunal (Mumbai) (“NCLT”) dated October 1, 2018 and October 3, 2018, the Board of the Company has been reconstituted and Mr. Uday Kotak, Mr. Vineet Nayyar, Mr. G.N Bajpai, Mr. G.C. Chaturvedi, Dr. Malini Shankar, Mr. Nand Kishore and Mr. C.S Rajan have been appointed as the directors of the Company. The new Board had its first meeting today.
The Board of Directors of IL&FS approved a Rights Issue of 30 crore equity shares at Rs 150 per share aggregating to Rs 4,500 crores to shore up the capital of the IL&FS. The Rights issue would be completed by October 30, 2018. As on March 31, 2018, IL&FS net worth was Rs 7,400 crores. In addition, the Board approved the re-capitalization of Group Companies to the extent of Rs 5,000 crores in IL&FS Financial Services, IL&FS Transportation, IL&FS Energy, IL&FS Environment, and, IL&FS Education
ITNL Offshore Pte. (IOPL), a subsidiary of IL&FS Transportation Networks (ITNL), has completed sale of CNH 1.00 billion ($155 million) three-year Dim Sum bond. These bonds are guaranteed by ITNL. IL&FS Financial Services (IFIN) was financial advisor to ITNL and IOPL in this transaction. This is the largest bond issuance achieved by an Indian corporate in CNH bond market. This is also the first international bond issuance by any Indian company in 2018, and the first high-yield Dim Sum deal in more than 15 months.
Open to all age groups, a notable addition to this year’s race categories, is the inclusion of the 16 km run. The 5km and 10km run continues to encourage and introduce running as a daily sport among professionals. All the registration proceeds will go to ADAPT (Able Disabled People All Together) the event charity partners and a non-government organisation. Mr Ramesh C. Bawa, Managing Director & CEO, IL&FS Financial Services, said, “Running has not only been considered as an effective physical activity to chase good health and fitness leading to a healthy body, soul and mind, but this also brings perseverance in one's life to achieve the desired goals and ambitions. 'I Run For Fun' is an initiative undertaken by us five years ago with a motive to boost the morale of our employees and other participants to replicate the aspect of 'Run-to-Chase' in their personal and professional life. Besides this, we also feel privileged to provide financial support to one of the foremost 'Non-Profit' organisations in the country called 'ADAPT' with the funds collected from this event. I welcome all the participants to join hands towards a healthier, soulful, social and noble approach.”