Lenders in DHFL ready to compound a limited loan: Report

Mumbai, Ta. July 16, 2019, Tuesday

Housing Finance Giant Devan Housing Finance Ltd (DHFL) lenders-lenders are ready to accept limited-limited hair cut-in to the Lone-Debas Restructuring Plan for the company which has been in crisis.

The country's fourth-largest finance company warned on Saturday that the financial condition of the company is poor and the business has come to an end, together with lenders and other debtors, discussed the rescue package together. Meanwhile banks, mutual funds and company sources said that efforts are being made to reach the consensus for the restructuring plan.

However, analysts say that the company has to struggle to sell its business or attract other investors and to raise Rs 70 billion in additional equity.

It is worth mentioning that DHFL has also come under the finance scanner after Infrastructure Leasing and Financial Services Limited stalled public sector banks worth $ 150 billion as a result of the NBFCs crisis triggered by liquidity crises last year.

In the case of DHFL, lenders are preparing for loan deductions and a cut of 20% of the loan loan in the loan book, a banker said. However, other bankers say that, in bad conditions, banks can be ready for a 50% burner loan loan.