According to the regulatory filing, Reliance Cap defaulted on June 30, 2020. Interest payment default stood at Rs4.61cr against HDFC and Rs0.68cr on loan from Axis. Notably. there was NIL default in a principal amount from these lenders.
From HDFC, Reliance Cap has a principal loan amount of Rs523.98cr at an interest rate of 10.60% - 13% per annum for a tenure between 6 months - 7 years. While the company's principal amount stood at Rs100.63cr having an interest rate of 8.25% per annum for a tenure between 3-7 years. Both the loans are Secured type.
Explaining the default, Reliance Cap told exchanges on Tuesday that delay in debt servicing is due to prohibition on the Company to dispose off, alienate, encumber either directly or indirectly or otherwise part with the possession of any assets, according to
Order dated November 20, 2019, passed by the Hon’ble Delhi High Court in the matter of OMP(I) COMM. 419/2019 and OMP(I) COMM. 420/2019.
Further, Reliance Cap added that according to the proceedings initiated by Vistra ITCL (India) Limited, the Debts Recovery Tribunal vide its order dated December 3, 2019, has also prohibited the Company from transferring, alienating, encumbering or otherwise parting with the possession of assets owned by the Company.
Reliance Cap's total outstanding borrowings from Banks/financial institutions are at Rs668.29cr which also includes accrued interest up to June 30, 2020.
While the company's total financial indebtedness of the listed entity including short-term and long-term debt stands at Rs19,521.58cr including accrued interest up to June 30, 2020.
On Tuesday, Reliance Cap stock ended at a lower circuit of Rs12.02 per piece down by 4.98% on Sensex.