The loans pertained to various banks, and the nature of the obligation is fund-based working capital, non-fund-based working capital, term loans and FCCB (foreign currency convertible bonds).
JAL said that “the total borrowing (including interest) of the company is Rs 29,277 crore, repayable by 2037, against which only Rs 3,956 crore is overdue as on April 30, 2023”.
Out of the total borrowing, the company said Rs 18,106 crore will get further reduced on transfer to the proposed special purpose vehicle (SPV) for which the scheme of arrangement duly approved by all stakeholders is pending sanction of the NCLT.
“The entire loan is in any case under restructuring,” it added.
The company said it has been taking tangible steps to reduce the borrowings.
“Post the proposed divestment of cement business and the restructuring under consideration, the borrowing will get almost to nil upon implementation of revised restructuring plan,” it said. JAL also said that ICICI Bank had approached the NCLT Allahabad on the direction of the RBI under section 7 of the Insolvency and Bankruptcy Code 2016 against the company. It has contested the move.
“The matter is pending to be decided simultaneously with the Scheme of Arrangement for transfer of real estate to the SPV to be sanctioned by the NCLT,” the filing said.
In September 2018, ICICI Bank filed an insolvency petition against JAL. The country’s biggest lender SBI has also moved the NCLT against JAL, claiming a total default of Rs 6,893.15 crore as of September 15, 2022.
Recently, JAL and its group firms announced the sale of its remaining cement assets to Dalmia Bharat Ltd at an enterprise value of Rs 5,666 crore and exit from the sector as part of its strategy to reduce debt.
Earlier, as part of its debt resolution exercise, JAL had sold more than 20 million tonnes per annum cement capacity to Aditya Birla group firm UltraTech Cement between 2014 and 2017.
In its erstwhile subsidiary Jaypee Infratech Ltd (JIL), Mumbai-based realty firm Suraksha Group has recently got approval from the NCLT for its bid to acquire JIL and complete around 20,000 apartments in Noida. However, many parties have approached the National Company Law Appellate Tribunal (NCLAT) against the NCLT order.
