Reliance Infra claims 100% lenders sign pact

Anil Ambani-run Reliance Infrastructure on Thursday claimed that all the 16 lenders have signed the mandatory inter-creditor agreement for resolving its debt of around Rs 7,500 crore.

It can be noted that the RBI mandates only 75 per cent of lenders by value and 60 per cent of them by the number to sign the inter-creditor agreement for a resolution plan.

"As per the June 7 Reserve Bank circular, 100 per cent of our lenders have signed the inter-creditor agreement for resolution of our debt," Reliance Infrastructure's said in a statement Thursday.

According to the new circular, if a borrower defaults to any of the lenders, others will have to review the account within 30 days from the default, called a review period.

During the review period, banks may decide on a resolution plan and wherever a plan has to be implemented, all lenders will have enter into an ICA within those 30 days to finalise and implement the resolution plan, which has to be approved by 65 per cent of the financial creditors.

The inter-creditor agreement shall provide that any decision agreed by lenders representing 75 per cent by value of total outstanding credit facilities and 60 per cent of lenders by number shall be binding upon all the lenders.

With the signing of the inter-creditor agreement, it has got a standstill period for 180 days.

"We are confident of implementing the resolution plan well before the 180-days deadline based on advanced progress of our various asset monetization initiatives," the company said in the statement.

It has already announced the sale of the Delhi-Agra toll road for an enterprise value of Rs 3,600 crore. With this single deal, its debt will come down by over 25 percent to just over Rs 4,000 crore, the company claimed.

It also plans to monetise its 7 lakh sq ft of its group headquarters Reliance Center in suburban Santacruz by leasing out the property.

Last year, it sold its Mumbai energy business to Adani Transmission for Rs 18,800 crore which helped it lower debt to Rs 7,500 crore from Rs 22,000 crore.