DHFL seeks board's approval to raise funds via share sale | Mint
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Business News/ Companies / News/  DHFL seeks board's approval to raise funds via share sale
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DHFL seeks board's approval to raise funds via share sale

The debt-laden housing finance company has been crippled with finances and has not been able to meet its debt obligations over the past several months
  • The DHFL board is scheduled to hold meeting on Friday (30 August), in which the said proposal is to be placed, the firm said in a regulatory filing
  • DHFL has about ₹80,000 crore of obligations and will submit resolution plan to banks on 10 July. (Reuters )Premium
    DHFL has about 80,000 crore of obligations and will submit resolution plan to banks on 10 July. (Reuters )

    NEW DELHI : Debt-ridden DHFL on Tuesday said it plans to raise funds through equity share sale or other means as part of the debt resolution plan of the company.

    The DHFL board is scheduled to hold meeting on Friday (30 August), in which the said proposal is to be placed, the firm said in a regulatory filing.

    "A meeting of the board of directors of the company is scheduled to be held on Friday, August 30, 2019, to consider and approve the proposal for issuance of equity shares and/or other securities of the company including by way of preferential issue, pursuant to a conversion of debt to equity under the proposed resolution plan," it said.

    The fund mop-up can also be through any other permissible mode or a combination of prospectus/placement document or letter of offer or any other permissible offer, it added.

    Separately, DHFL also informed that it has defaulted to the tune of 14.13 crore towards interest payments on bonds issued by the company.

    An interest payment default of 9.42 crore occured on secured NCDs (5 years tenure) and of 4.71 crore on 10 years NCDs, it said in an another regulatory filing.

    The debt-laden housing finance company has been crippled with finances and has not been able to meet its debt obligations over the past several months, leading to defaults.

    DHFL has a debt pile-up nearing about 90,000 crore on its books and it has resorted to various means to raise funds, including selling of equity as well as exiting from many businesses where it held significant stakeholding.

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    Published: 27 Aug 2019, 09:15 PM IST
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