Union Bank says lenders may be forced to convert half of their DHFL debt into equity, will be for short-term
5 years, 4 months ago

Union Bank says lenders may be forced to convert half of their DHFL debt into equity, will be for short-term

Firstpost  

DHFL has become the poster-boy of the NBFC crisis that afflicted the financial sector after the infra-lender IL&FS went belly up last September Resolving the crippled mortgage lender DHFL’s over Rs 90,000 crore debt is “not so easy” and banks are considering converting their outstanding into equity, Union Bank of India said on Tuesday. Meanwhile, Arijit Basu, a managing director at SBI, which also has exposure to DHFL, said lenders are “evaluating” resolution plan received from DHFL. DHFL shares tank Meanwhile, shares of DHFL on Tuesday fell over 5 percent after the company said it has defaulted on financial repayment obligations of Rs 1,571 crore with regard to the issuance of bonds and commercial papers. In a break-up, the non-banking financial company said it has defaulted on Rs 46.92 crore towards interest amount on secured NCDs ; on non-convertible debentures issued through a public issue for multiple tenors of amount involving interest of Rs 363.77 crore and a principal amount of Rs 1,059.91 crore.

Basu Crore Funds Rbi Banks Rai Pension Funds Union Bank Nbfc Dhfl Commercial Papers  financial  shares  lenders  half  resolution  forced  banks  debt  rs  shortterm  convert  equity  funds  rai  rbi  union  bank  dhfl  crore

History of this topic

CBI books DHFL and its promoters for alleged ₹34,615-crore bank fraud
2 years, 6 months ago

CBI books DHFL and its promoters for alleged ₹34,615-crore bank fraud

The Hindu  

The Central Bureau of Investigation has booked the Dewan Housing Finance Corporation Limited, its promoters and others for allegedly cheating a consortium of 17 banks to the tune of ₹34,615 crore. A total of 66 entities — which were inter-connected and involved individuals linked to DHFL promoter entities — were extended loans and advances of over ₹29,100 crore, against which …

Has DHFL’s Resolution Plan Suffered A Setback? NCLAT Asks CoC To Reconsider
2 years, 11 months ago

Has DHFL’s Resolution Plan Suffered A Setback? NCLAT Asks CoC To Reconsider

ABP News  

Mumbai: In a latest development, the National Company Law Appellate Tribunal has recently asked the committee of creditors of DHFL to reconsider Piramal Capital and Housing Finance assigning a value of only Rs 1 to the bad loans of the bankrupt mortgage lender that Piramal acquired last year. According to the report, the principal valuation of recoverable assets are set …

Piramal group acquires DHFL, pays ₹14,700 crore in cash
3 years, 3 months ago

Piramal group acquires DHFL, pays ₹14,700 crore in cash

The Hindu  

Piramal Enterprises Ltd on Wednesday said it has formally acquired the bankrupt Dewan Housing Finance Corporation Ltd by making the cash payment of ₹14,700 crore to creditors as per the resolution plan. DHFL has been acquired by Piramal for total consideration of ₹34,250 crore which includes an upfront cash component of ₹14,700 crore paid on Wednesday and issuance of debt …

DHFL creditors reject plan to give FD holders more
3 years, 6 months ago

DHFL creditors reject plan to give FD holders more

Hindustan Times  

The committee of creditors to Dewan Housing Finance Corp. Ltd has overwhelmingly rejected a proposal to increase recoveries for smaller investors, including fixed deposit and debenture holders. Meanwhile, fixed depositors plan to challenge the approval of the Piramal group’s resolution plan in the National Company Law Appellate Tribunal. Lenders rejected the proposal with a majority of 89.19% at Tuesday’s vote, …

Delhi High Court Seeks RBI, Centre, DHFL Response On Plea Against Rules Allowing NBFCs Resolution Under IBC
3 years, 11 months ago

Delhi High Court Seeks RBI, Centre, DHFL Response On Plea Against Rules Allowing NBFCs Resolution Under IBC

Live Law  

The Delhi High Court has sought responses of inter alia, the Centre, the Reserve Bank of India and Dewan Housing Finance Corporation Ltd on a writ petition challenging the constitutional validity of the Insolvency and Bankruptcy Rules, 2019, and a notification by the Union. The Delhi High Court has sought responses of inter alia, the Centre, the Reserve Bank of …

Primal Capital's Bid Gets Approval by DHFL Creditors
3 years, 11 months ago

Primal Capital's Bid Gets Approval by DHFL Creditors

News 18  

The creditors of Dewan Housing Finance Corporation Ltd have approved the resolution plan submitted by Piramal Capital and Housing Finance Limited. According to a regulatory filing released on Sunday, DHFL has said that the company has approved the resolution plan submitted by Piramal Capital and Housing Finance Limited by CoC by majority voting under section 30 of the Insolvency and …

DHFL resolution: Lenders approve Piramal's bid
3 years, 11 months ago

DHFL resolution: Lenders approve Piramal's bid

Hindustan Times  

Debt-ridden mortgage lender DHFL Ltd on Sunday said the Committee of Creditors has approved resolution plan submitted by Piramal Capital and Housing Finance Limited, a Piramal Group company. The "resolution plan submitted by Piramal Capital and Housing Finance Limited was duly approved by CoC by majority voting under section 30 of the Insolvency & Bankruptcy Code.as the successful resolution plan," …

How Piramal Group Emerged as Preferred Bidder for DHFL: All You Need to Know
4 years ago

How Piramal Group Emerged as Preferred Bidder for DHFL: All You Need to Know

News 18  

The intense bidding war for beleaguered mortgage lender Dewan Housing Finance Corporation has been won by Piramal Group at the end of voting by the Committee of Creditors on Friday, reported moneycontrol.com quoting a person familiar with the development. ‘PIRAMAL GROUP WINS BIG’ * According to another person in the know, the Piramals got over 94 per cent votes, way …

Adani Group, Piramal Among 4 Bidders for DHFL, Lenders Stare at Over Rs 60,000 Cr Write-off
4 years, 2 months ago

Adani Group, Piramal Among 4 Bidders for DHFL, Lenders Stare at Over Rs 60,000 Cr Write-off

News 18  

Adani Group and Piramal Enterprises are among the four entities that have placed bids for DHFL, the first financial services player undergoing insolvency process, according to sources. Therefore, sources said, accepting Oaktree bid would result in a write-off of Rs 65,000 crore for the lenders led by State Bank of India. Adani Group has bid for DHFL’s Rs 40,000-crore wholesale …

Adani, KKR, Bain Capital, Piramal, Kotak, among two dozen bids for DHFL; around 14 entities keen to take over entire operations
4 years, 10 months ago

Adani, KKR, Bain Capital, Piramal, Kotak, among two dozen bids for DHFL; around 14 entities keen to take over entire operations

Firstpost  

Most banks led by the State Bank have declared DHFL account as an NPA in the third quarter. Mumbai: Adani Group, KKR, Bain Capital, Kotak Mahindra Bank and Piramal Enterprises are among the more than two dozen entities that have put in bids for crippled DHFL, the first financial services player undergoing insolvency process, according to two sources. Bain Capital’s …

DHFL subsidiaries may see changes in management
5 years ago

DHFL subsidiaries may see changes in management

Live Mint  

The Reserve Bank of India-appointed administrator to Dewan Housing Finance Corp. Ltd is planning to effect management changes at the mortgage lender’s subsidiaries to control its insolvency process better, a banker aware of the development said, requesting anonymity. According to the banker, among the items put to vote by the administrator for voting by DHFL’s lenders last week was one …

DHFL crisis: RBI appoints 3-member advisory panel to advise administrator of troubled mortgage lender
5 years, 1 month ago

DHFL crisis: RBI appoints 3-member advisory panel to advise administrator of troubled mortgage lender

Firstpost  

The Reserve Bank on Friday constituted a three-member panel to advise the administrator of DHFL, ahead of formally moving for resolution of the troubled mortgage lender under the insolvency law Mumbai: After superseding the board of the crippled mortgage lender DHFL, the Reserve Bank on Friday constituted a three-member panel to advise its administrator to help recover nearly Rs 84,000 …

RBI forms advisory committee to assist DHFL in bankruptcy proceedings
5 years, 1 month ago

RBI forms advisory committee to assist DHFL in bankruptcy proceedings

The Hindu  

The Reserve Bank of India has formed a three-member advisory committee to assist the administrator of troubled mortgage lender DHFL. Venkatesh, Chief Executive, Association of Mutual Funds in India, are part of the advisory committee Earlier the RBI had superceded the Board of the home financier and appointed former MD&CEO of Indian Overseas Bank, R Subramaniakumar, as the Administrator. “The …

DHFL lessons for shadow banks: Turning blind eye to risk management for quick growth makes profit-hungry NBFCs vulnerable
5 years, 1 month ago

DHFL lessons for shadow banks: Turning blind eye to risk management for quick growth makes profit-hungry NBFCs vulnerable

Firstpost  

Not long ago, DHFL enjoyed stardom in India’s booming housing finance market. CRISIL downgraded DHFL commercial paper worth Rs 850 crore too on account of the weak liquidity condition of the company. For several years, DHFL grew its loan book at a much faster rate than its competitors even when things weren’t looking good in the broader economy. DHFL got …

DHFL insolvency a test case for IBC, Subhash Chandra no longer majority shareholder in Zee; all this and more on Moneycontrol Pro
5 years, 1 month ago

DHFL insolvency a test case for IBC, Subhash Chandra no longer majority shareholder in Zee; all this and more on Moneycontrol Pro

Firstpost  

DHFL will be the first NBFC to be referred to the NCLT by the banking regulator. India’s fastest-growing financial subscriptions service, Moneycontrol Pro, is available both on the website and mobile apps. Is Subhash Chandra’s stake reduction good news for Zee shareholders? This is expected to bring down Subhash Chandra’s stake to 5 percent, meaning he will no longer be …

Reserve Bank of India supersedes DHFL board
5 years, 1 month ago

Reserve Bank of India supersedes DHFL board

Deccan Chronicle  

Mumbai: The Reserve Bank of India on Wednesday superseded the board of debt-laden Dewan Housing Finance Corporation Limited owing to governance concerns and defaults in meeting various payment obligations by the mortgage lender. However, corporate watchers said the RBI superseding the DHFL board is an action that has come too late, as DHFL is now left with assets that its …

RBI supersedes DHFL board, insolvency proceedings soon
5 years, 1 month ago

RBI supersedes DHFL board, insolvency proceedings soon

India TV News  

The Reserve Bank of India on Wednesday superseded the board of debt-laden Dewan Housing Finance Corporation Limited due to governance concerns and defaults on various debt instruments. The central bank has also appointed R Subramaniakumar, the ex-managing director of Indian Overseas Bank as the administrator of the third largest pureplay mortgage lender. "In exercise of the powers conferred under Section …

DHFL crisis: High Court says mortgage financier can provide payments to SBI, other lenders with which it has securitisation deals
5 years, 2 months ago

DHFL crisis: High Court says mortgage financier can provide payments to SBI, other lenders with which it has securitisation deals

Firstpost  

DHFL can make all the future payments as well as those payments that were due since October 10 when the court had passed the earlier order, the judge said Mumbai: The Bombay High Court on 13 November allowed a plea by a group of banks, including the State Bank of India, seeking to modify its earlier order restraining payments by …

DHFL lenders likely to file intervention plea in Bombay High Court to protect borrowers
5 years, 2 months ago

DHFL lenders likely to file intervention plea in Bombay High Court to protect borrowers

Live Mint  

Lenders of Dewan Housing Finance Corp. Ltd are in the process of filing an application in the Bombay high court to protect the housing finance company’s borrowers from being classified as defaulters just because DHFL has been declared a defaulter, two people aware of the development said, requesting anonymity. According to the people cited above, DHFL has been receiving repayments …

DHFL Crisis: Bombay HC Allows Edelweiss AMC's Plea For Disclosure Of All Assets As DHFL Defaults On Payments [Read Order]
5 years, 3 months ago

DHFL Crisis: Bombay HC Allows Edelweiss AMC's Plea For Disclosure Of All Assets As DHFL Defaults On Payments [Read Order]

Live Law  

The Bombay High Court on Thursday restrained the crisis hit Dewan Housing Finance Corporation Limited from making any payments or disbursements to unsecured creditors. The court allowed Edelweiss AMC's plea seeking disclosure of all assets of DHFL as the housing finance company defaulted in payments. Justice AK Menon was hearing an application in a commercial suit filed by Edelweiss AMC, …

DHFL board approves plan to convert debt into equity, sell assets to raise more capital
5 years, 4 months ago

DHFL board approves plan to convert debt into equity, sell assets to raise more capital

Firstpost  

Bengaluru: Crisis-hit shadow bank Dewan Housing Finance Corp said on Friday its board had approved a plan that included converting debt into equity, even as it seeks to sell assets and raise more capital. The conversion of debt into equity may result in a change in ownership, the company said in a regulatory filing, adding that the plan still needed …

DHFL resolution plan: Lenders want Kapil Wadhawan to step down as chairman and managing director of cash-strapped firm
5 years, 4 months ago

DHFL resolution plan: Lenders want Kapil Wadhawan to step down as chairman and managing director of cash-strapped firm

Firstpost  

The promoter would also be required to pledge a part of their remaining stake to lenders. Promoter group holding in DHFL is 39.21 percent Lenders of Dewan Housing Finance have reportedly agreed on a three-level resolution plan that includes conversion of debt to equity and issuance of nonconvertible debentures, a media report said. In the resolution plan, lenders also have …

DHFL's bondholders get three-week deadline to be on board with rescue plan evaluated by banks
5 years, 5 months ago

DHFL's bondholders get three-week deadline to be on board with rescue plan evaluated by banks

Firstpost  

DHFL has already submitted a resolution plan to its committee of core creditors, which is currently being evaluated, Mumbai: Bondholders of troubled shadow lender Dewan Housing Finance Ltd have been given a three-week deadline to decide if they are on board with a rescue plan being evaluated by banks, according to a letter sent by a custodian of DHFL bonds, …

DHFL is headed for more trouble
5 years, 5 months ago

DHFL is headed for more trouble

India Today  

Crisis-ridden Dewan Housing Finance Corp Ltd filed its longdelayed audited financial results for the quarter ended March 31 late on Monday, but appears to be hurtling toward more trouble as its auditors have stated that the company has held back crucial information from them. But the auditors' concerns disclosed late on Monday could derail the company's plans to restructure debt …

DHFL says working with creditors to resolve issues without any haircut to lenders
5 years, 6 months ago

DHFL says working with creditors to resolve issues without any haircut to lenders

Firstpost  

New Delhi: Crisis-hit home loan and property finance company DHFL on Monday said it is working with stakeholders and creditors to ensure resolution of liquidity issues, without any hair cut to the lenders. DHFL has also cleared a significant amount of obligation to the tune of Rs 41,800 crore since September 2018, it added. Since September 2018, DHFL has managed …

DHFL demise imminent just like debt-ridden IL&FS: India’s regulators, raters failed to catch early signs of NBFC mess
5 years, 6 months ago

DHFL demise imminent just like debt-ridden IL&FS: India’s regulators, raters failed to catch early signs of NBFC mess

Firstpost  

In the case of both IL&FS and DHFL, rating agencies stepped in the last minute to call out the nature of stress in these firms and warn investors Dewan Housing Finance Ltd or DHFL—a well-known home loan lender in the country—fears that its days are numbered. DHFL’s near-death and the IL&FS crisis that preceded it exposes the weakness of India’s …

Housing lender DHFL fears it may not continue as a going concern; posts loss of Rs 2,223 cr in Q4
5 years, 6 months ago

Housing lender DHFL fears it may not continue as a going concern; posts loss of Rs 2,223 cr in Q4

Firstpost  

DHFL is in an advanced stage of submitting its resolution process under the inter-creditor agreement as entered into by banks. New Delhi: Housing finance firm DHFL has said the developments in last few quarters threaten its ability to continue as a going concern, as the company posted biggest-ever quarterly loss of Rs 2,223 crore for the fourth quarter ended 31 …

DHFL crisis: Bankers likely to recast crisis-hit housing finance company's outstanding loans of over Rs 38,000 cr
5 years, 6 months ago

DHFL crisis: Bankers likely to recast crisis-hit housing finance company's outstanding loans of over Rs 38,000 cr

Firstpost  

On 25 June, DHFL said it failed to make Rs 225 crore payment of unsecured commercial paper payment. In a major relief to the crisis-hit Dewan Housing Finance Corp Ltd, bankers to the Mumbai headquartered housing finance company may recast its outstanding loans of over Rs 38,000 crore, said a media report. DHFL, which owes nearly Rs 90,000 crore to …

Lenders to recast DHFL loans worth ₹38,000 crore
5 years, 6 months ago

Lenders to recast DHFL loans worth ₹38,000 crore

Live Mint  

Mumbai: Lenders to Dewan Housing Finance Corp. Ltd have agreed to restructure the stressed home financier’s outstanding loans of more than ₹38,000 crore. In a meeting held on Monday, the banks decided to sign an inter-creditor agreement by Friday after DHFL missed interest payments to a few lenders last month. It has also sold several of its strategic retail assets, …

DHFL lenders to meet today to seek solution for Rs 90,000 cr debt; may consider conversion of debt into equity
5 years, 6 months ago

DHFL lenders to meet today to seek solution for Rs 90,000 cr debt; may consider conversion of debt into equity

Firstpost  

The DHFL debt has been downgraded by multiple rating agencies as the stress kept building up, while the company has also deferred announcement of quarterly results last week. The consortium of 30 lenders led by state-run Union Bank of India, which includes banks and other financial institutions, may also consider conversion of debt into equity that can make them the …

Lenders of troubled DHFL to meet on Monday
5 years, 6 months ago

Lenders of troubled DHFL to meet on Monday

India TV News  

Lenders of troubled NBFC DHFL are scheduled to meet Monday, seeking a solution for the Rs 90,000 crore debt that is owed to them. According to earlier media reports, an alternative investment firm has evinced interest in the company's wholesale book, at least two private equity funds are interested in buying a stake in DHFL. The DHFL debt has been …

DHFL defaults on Rs 225 cr commercial paper payments due on 25 June, misses deadline again
5 years, 6 months ago

DHFL defaults on Rs 225 cr commercial paper payments due on 25 June, misses deadline again

Firstpost  

Crisis-hit Dewan Housing Finance Limited said it has failed to make Rs 225 crore payment of unsecured commercial paper payment which was due on 25 June. Earlier this month, DHFL, after defaulting on its debt obligations, said it is taking all necessary steps to meet repayments within the seven-day grace period and prevent any future default. DHFL, the third-largest pure-play …

DHFL delays payment on outstanding bonds for the second time
5 years, 6 months ago

DHFL delays payment on outstanding bonds for the second time

Live Mint  

Mortgage lender Dewan Housing Finance Corp. Ltd said it is yet to repay ₹225 crore out of the total ₹375 crore of commercial paper to a dozen investors. DHFL has repaid close to ₹40,000 crore of its financial obligations since September and remains committed to meeting all debt obligations in a timely manner, the company said in its regulatory filing …

DHFL to use ₹500 crore proceeds from Aadhar Housing stake sale towards NCD payment
5 years, 7 months ago

DHFL to use ₹500 crore proceeds from Aadhar Housing stake sale towards NCD payment

Live Mint  

DHFL will use the ₹500 crore it got from selling stake in subsidiary firm Aadhar Housing Finance Limited towards payment of bonds, sources said Tuesday. The promoter of Aadhar Housing --Wadhawan Global Capital, DHFL, Kapil Wadhawan, Dheeraj Wadhawan and Aruna Wadhawan, who all formed part of promoter and promoter group of DHFL have completely exited Aadhar from June 10, 2019, …

DHFL default: RBI closely monitoring NBFC sector, housing finance companies; to ensure financial stability
5 years, 7 months ago

DHFL default: RBI closely monitoring NBFC sector, housing finance companies; to ensure financial stability

Firstpost  

After DHFL’s bond repayment default, rating agencies CRISIL and ICRA had on Wednesday downgraded rating on its Rs 850-crore commercial paper to ‘default’ from ‘A4’. Mumbai: The central bank is closely monitoring the developments in the NBFC sector and housing finance companies and will ensure that financial stability is maintained, governor Shaktikanta Das said on Thursday. Stating that the central …

DHFL is no IL&FS yet, but it isn’t far from getting there unless a Santa shows up with bag full of good money
5 years, 7 months ago

DHFL is no IL&FS yet, but it isn’t far from getting there unless a Santa shows up with bag full of good money

Firstpost  

One of the largest non-banking finance companies housing finance firm in India, Dewan Housing Finance Ltd, has just announced that it will not accept any fresh deposits or renew the existing ones. Early this month, CRISIL downgraded DHFL commercial paper worth Rs 850 crore too on account of the weak liquidity condition of the company. DHFL’s scheduled aggregate cash outflows …

How NBFCs found themselves in the middle of a storm
6 years, 3 months ago

How NBFCs found themselves in the middle of a storm

Live Mint  

What were the first signs of trouble? On 17 September, rating agency Icra downgraded IL&FS’s credit rating to default, after it failed to meet repayment obligations of ₹ 12,000 crore in short-term and long-term borrowings. The market panicked after news emerged that DSP Mutual Fund was selling DHFL’s one-year ₹ 300 crore paper at 11%. It was a liquidity crunch, …

Not defaulted on any financial obligation: DHFL
6 years, 3 months ago

Not defaulted on any financial obligation: DHFL

Live Mint  

New Delhi: Housing finance company DHFL on Monday again asserted that it had not defaulted on any financial obligations and there had been no instance of delay in repayment of any liability. “DHFL today reiterated that the company has neither defaulted on any bonds or repayment of its financial obligations, nor has there been any instance of delay on any …

Discover Related