IndiaCatalog.com
India News
Search Web Directory
News Home
LIC may offer a lifeline if IL&FS has a revival plan
Posted on 15th September 2018
With one default behind it, the beleagured Infrastructure Leasing & Financial Services ( IL&FS) will be looking for a lifeline from its shareholders at the board meeting on Saturday. The company’s largest shareholder, Life Insurance Corporation (LIC), is understood to be considering a loan to the defaulting Mumbai-based firm. However, only if there is a convincing turnaround strategy will LIC throw it a lifeline, sources said. Shareholders will ask IL&FS for a business plan outlining the extent of internal accruals, sources said. The state-owned insurer owns 25.34% of IL&FS.

At an earlier meeting, shareholders are believed to have agreed to ask the company on its plans to generate funds through asset sales. A senior official from the Insurance Regulatory Development Authority of India (Irdai) said the decision would be LIC’s alone, to make. “We won’t be micromanaging how they manage their funds,” the official said.

Over the last 60 days, IL&FS and its subsidiaries have seen a cash crunch. A payment of Rs 150 crore was due on Wednesday but it was not known whether the dues had been cleared. An email on this issue, sent to Maharudra Wagle, the group’s chief financial officer, did not elicit a response till the time of going to press.

IL&FS is seeking an immediate loan of around Rs 3,000 crore from its major shareholders to help it overcome an immediate payments crisis. It has a debt repayment schedule amounting to Rs 617 crore just in the next 20 days, to mutual funds alone, according to data from Value Research. IL&FS has proposed a rights issue of Rs 4,500 crore with most of its shareholders having agreed, in principle, to participate. This is scheduled to be completed by mid-October.

According to Nomura India, IL&FS has a debt pile of Rs 91,000 crore, with Rs 57,000 crore due to banks, mostly to state-run lenders. Its roads development subsidiary has a debt burden of Rs 35,000 crore. At ITNL’s annual general meeting on September 4, company MD K Ramchand said, with the planned asset sales across the group of 25 projects across its roads and energy portfolios as well as some of its revenue-generating business verticals, ITNL plans to cut its own debt down to Rs 2,000-3,000 crore in the next 6-9 months.

He also said ITNL has filed claims with various government authorities for about Rs 10,000 crore for cost escalations. Ramchand added the company will exit the toll projects business and focus purely on cash contracts, or projects under the engineering, procurement and construction (EPC) method. Apart from LIC, Orix Corporation of Japan owns 23.5% in IL&FS while Abu Dhabi Investment Authority has a 12.5% stake. HDFC owns 9%, Central Bank of India owns 7.67% and State Bank of India 6.42%.

Related Companies: LIC Housing Finance Ltd   

Other Latest News
Yes Bank recommends name of Brahm Dutt for post of Chairman: Sources
Posted on 18th December 2018
Yes Bank has recommended the name of its board member Brahm Dutt for the post of Chairman to the RBI, according to sources. The Chairman post fell vacant after the resignation of Ashok Chawla in November following issues related to probity. “The bank has sent the name of Dutt to the Reserve Bank for the Chairman post,” a source said Tuesday.

Air India offer: Grab cheap late night flight tickets for as low as Rs 1,379; check routes, flight details
Posted on 18th December 2018
Air India offer: India’s national carrier Air India has announced ‘Night Flights’ offer, using which flyers can book flights for as low as Rs 1,379 (all-inclusive). “Night Flights, beat peak rush hour at attractive fares,” the air carrier said on its website. The customers can book Ahmedabad-Bengaluru late night flight (departure time: 0305; arrival time: 0525) for Rs 1,379. Other attractively priced routes include from Delhi to Coimbatore (departure time: 2115;

Mukesh Ambani’s RIL in talks with Saudi Arabia for new refinery, petrochemicals projects
Posted on 18th December 2018
World’s largest oil exporter Saudi Arabia and richest Indian Mukesh Ambani-run Reliance Industries are discussing joint investment in petrochemicals and refinery projects, the Saudi Oil Minister Khalid al-Falih said. Al-Falih, who has known Ambani for over a decade now, travelled to Udaipur earlier this month to attend the pre-wedding festivities of Ambani’s daughter Isha’s marriage with Ajay Piramal’s son Anand.

PM Modi to launch projects worth Rs 41,000 cr in Maha tomorrow
Posted on 18th December 2018
Mumbai: In the lead up to the Lok Sabha and the state assembly elections next year, Prime Minister Narendra Modi on Tuesday will launch infrastructure and housing projects worth around Rs 41,000 crore in the state.

Modi, who will be in the state, will lay the foundation stone for Thane-Bhiwandi-Kalyan metro 5 and Dahisar-Mira Bhayander metro-9 in Kalyan in the neighbouring Thane district.


SBI may buy out Canara Bank’s loans in Ratnagiri Gas
Posted on 18th December 2018
Mumbai: State Bank of India (SBI) is looking to buy out Canara Bank’s loans of about ₹400 crore in Ratnagiri Gas and Power Pvt. Ltd (), the erstwhile Dabhol Power Co., said two people in the know. This is expected to be the first resolution under the inter-creditor agreement (ICA), which is part of the government’s Project Sashakt aimed at resolving bad loans.

» Post a FREE Classified Advertisement
Inviting Real Estate Agents, Job Placements Agents, Educational Institutes, Software Service Providers, Real Estate Builders, Marriage Bureaus, Travel Agents, Restaurant Owners, Health & Fitness Centers and other Local Businesses to Post a FREE Classified Advertisement on Cootera.com Classifieds Website.
Jobs in India India Real Estate Automobiles Matrimonials Beauty & Fitness

Add a comment for LIC may offer a lifeline if IL&FS has a revival plan
Please only use this form to enter comments on the above company. All comments are reviewed before they are displayed on the web site. Not all comments may be displayed. Check back with us to see if your comments have been displayed.
If you want us to email the comments posted by users, please Subscribe by email
Name*
Comments*
Security Code*
 

Be the first person to write a business review for LIC may offer a lifeline if IL&FS has a revival plan

Most Read News

Pune travel agents protest Air India plan to use one GDS

Telangana polls: TRS on course to retaining power if initial trends hold

Extradition of once king of good times’ Vijay Mallya from UK to speed up loan recovery process, says SBI

Axis Bank launches QuikPay Home Loan; a Monthly Instalments Plan

Paytm Money enables ‘UPI Payment’ facility for Mutual Fund Investments

More India News

Photo Gallery

Emma Stone(12 Images) Emma Stone
Mannara Chopra(11 Images)Mannara Chopra
Niveda Thomas(10 Images) Niveda Thomas
  India Web Directory
Business Profiles
Automotive Directory
IT/ITES/BPO Directory
Hotel Directory
Health Directory
Business Directory
Gems & Jewellery
Education Directory
Real Estate Directory
Agriculture Directory
Logistics Directory
Yellow Pages
NRI Guide
Photo Galleries
Global Web Directory
*** FREE India Classifieds
Order Premium Listings
Submit a Site
Business Reviews
Home
About us
Link to us
Advertise
Contact us
Google Search Keywords: India Catalog, IndiaCatalog, India Web Directory
    © 1999 - 2018 IndiaCatalog.com
    All Rights Reserved
Privacy Statement