The IL&FS Group has completed the sale of its 71.84 per cent stake in IL&FS Prime Terminals FZC (“IPTF”) to VTTI Terminal I BV (“VTTI”). Sale of IPTF has successfully resolved IL&FS Group debt outstanding to the tune of Rs 757.79 crore through this transaction. IL&FS stake in Prime Terminals FZC was held through IL&FS Maritime Infrastructure Company Limited (“IMICL”). VTTI has acquired this state-of-the art energy storage terminal situated in Fujairah from IMICL and other shareholders. VTTI will now own 90 per cent of the terminal, while the other 10 per cent will remain with the Fujairah Government. This acquisition of the 333,484 m3 terminal will help the company to expand its long-established position in the Port of Fujairah.
The IL&FS group has completed the sale of its 71.84 per cent stake in IL&FS Prime Terminals FZC to VTTI Terminal I BV, resolving an outstanding debt of Rs 757.79 crore. Key lenders to the company were First Abu Dhabi Bank, National Bank of Fujairah, State Bank of India - that had debt outstanding of over $80 million, which has been fully repaid, the company said in a release.
IL&FS, which had sold the Chenani-Nashri Tunnel (CNTL) project in J&K to Cube Highways & Infrastructure last December for Rs 3,900 crore, is seeking a new buyer or a revised offer from the Singaporean highways player after the expiry of the sale pact and also an increase in valuation that has jumped to over Rs 5,200 crore now. CNTL is a subsidiary of IL&FS Transportation Networks, which had singed a Rs 3,900-crore share purchase agreement with Cube in August 2020 but regulatory, including NCLT and NHAI, approvals came late, leading to the agreement getting lapsed this August.
The National Company Law Tribunal (NCLT) has approved state-owned gas utility GAIL (India) acquisition of bankrupt Infrastructure Leasing and Financial Services' 26% stake in ONGC Tripura Power Company (OTPC), GAIL said on Friday. OTPC is a special purpose vehicle between Oil and Natural Gas Corporation (ONGC), IL&FS Group and Government of Tripura for setting up of a 726.6 MW combined cycle gas turbine thermal power plant at Palatana, Tripura. ONGC holds a 50% interest in the company in the project that supplies electricity to the northeastern states. The Tripura government holds 0.5% while India Infrastructure Fund II holds the balance 23.5% stake.
The National Company Law Tribunal has approved state-owned gas utility GAIL (India) Ltd's acquisition of bankrupt Infrastructure Leasing and Financial Services' 26 per cent stake in ONGC Tripura Power Company (OTPC), GAIL said on Friday. OTPC is a special purpose vehicle between Oil and Natural Gas Corporation (ONGC), IL&FS Group and Government of Tripura (GoT) for setting up of a 726.6 MW combined cycle gas turbine (CCGT) thermal power plant at Palatana, Tripura.
Uday Kotak, chairman of the government-appointed board of IL&FS, has said that over Rs 52,200 crore of debt of the beleaguered group has been resolved, which included Rs 14,100 crore of creditors' liability that has already been discharged. In addition, the group entities held Rs 16,700 crore in cash and another Rs 21,000 crore of sale and resolution plans are pending final approval.
The IL&FS board expects to resolve around Rs 57,000 crore of the Rs 99,000 crore total debt inherited by the directors by March 2022. Overall, the Uday Kotak-led board expects to complete the resolution of Rs 61,000 crore or about 62 % of the total debt inherited by the new board in October 2018. Chairman Kotak said that out of the 347 entities under IL&FS Group as of October 2018, a total of 235 entities stand resolved to date, including resolution applications filed with courts.
Infrastructure Leasing & Financial Services (IL&FS) said it had so far addressed Rs 52,200 crore debt and would achieve aggregate resolution of Rs 61,000 crore of the total debt of Rs 99,000 crore. "We will be able to achieve 62% of debt recovery," said Uday Kotak, chairman, IL&FS, said as part of the firm's update on the progress of the ongoing IL&FS Group resolution process.
The debt-laden IL&FS has so far resolved Rs 52,200 crore of debt till date and is on track to resolve an additional Rs 4,800 crore by March end, the group's chairman Uday Kotak said on Tuesday. "I am happy to report that IL&FS Group has addressed Rs 52,200-crore debt...we believe the total recovery and resolution will be around Rs 61,000 crore, which is around 61-62% of original debt," Kotak said. Of the total debt resolved till date, Rs 14,100 crore comprises of debt discharged to creditors, available balance of Rs 16,700 crore, Rs 13,200 crore from cases approved by the courts and are pending transaction closure on account of documentation, and balance Rs 8,200 crore from applications filed with courts which are pending approval.
Of the targeted Rs 61,000 crore debt resolution by the fiscal-end, IL&FS has resolved Rs 52,200 crore by October-end and will address another Rs 4,800 crore more by March-end 2022, the management said on Tuesday. The company is sitting on a cash balance of Rs 16,700 crore as of end-October and has repaid Rs 14,100 crore of debt this fiscal so far, IL&FS chairman Uday Kotak said in a press briefing via a video-link.