Lenders transfer ₹1,104cr McLeod Russel debt at discount with 5-yr repayment tenure
Live MintKolkata, Mar 16 A consortium of lenders to bulk tea producer McLeod Russel India Limited has transferred its debt exposure to the National Asset Reconstruction Company Limited for ₹700 crore, representing a 36 per cent haircut, sources said on Sunday. The Swiss challenge auction for the debt transfer of the base value of ₹700 crore received no counterbids against NARCL’s offer due to extremely poor sentiments about the tea sector, a merchant banker official involved in the transaction said. The ₹700 crore debt deal is seen as significantly lower than a previously attempted one-time settlement of ₹1,030 crore backed by Carbon Resources, which lapsed due to a lack of consensus among lenders. As of June 30, 2024, McLeod Russel had total outstanding dues of ₹1,461.06 crore, including debt assigned to another private asset reconstruction company and Indusind Bank which are not part of this transaction.
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McLeod Russel reports Rs142 crore loss in Q4, looking to sell tea estates to cut debt
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