Shapoorji group repays ₹500 cr more to group firm1 min read . Updated: 31 Mar 2020, 11:51 PM IST
- The promoters had pledged to repay ₹500 crore by 31 March, another ₹500 crore by 30 June and the balance by 30 September
- Sterling and Wilson Solar receives additional ₹500 crore against loans outstanding from Sterling and Wilson Pvt. Ltd and its subsidiary Sterling and Wilson International FZE
The promoters of Sterling and Wilson Solar Ltd have paid another ₹500 crore against outstanding loans, the engineering, procurement and construction company of the Shapoorji Pallonji Group said in a statement on Tuesday.
“Sterling and Wilson Solar today informed that it has received additional ₹500 crore against loans outstanding from Sterling and Wilson Pvt. Ltd (SWPL) and its subsidiary Sterling and Wilson International FZE (SW FZE), which was facilitated by Shapoorji Pallonji and Co. Pvt. Ltd and Khurshed Daruvala (promoters), as per the revised schedule of repayment approved by the board of directors of SWSL and communicated to the stock exchanges earlier," the company said.
Earlier ₹1,000 crore was paid by the promoters last year. As on 31 December 2019, the outstanding loans of the promoters stood at ₹1,644 crore.
The promoters had pledged to repay ₹500 crore by 31 March, another ₹500 crore by 30 June and the balance by 30 September.
The loan was to be repaid within 90 days of Sterling and Wilson Solar’s IPO, which ended mid-November 2019.
The promoters had sought an extension for repaying the loans, blaming “significant and rapid deterioration in the credit markets". The delayed loan payment, coupled with business disruption caused by covid-19, has seen Sterling and Wilson Solar’s stock crash by 90% from its IPO price of ₹780 per share to ₹76.9.