The IL&FS Group has paid back Rs 29,000 crore to secured creditors, with an interim pay-out of Rs 920 crore for subsidiary Chenani Nashri Tunnelway, taking the total to Rs 6,019 crore in fiscal 2023. IL&FS has completed interim payouts for Rapid Metro Gurgaon Ltd, Rapid Metrorail Gurgaon South Ltd and IL&FS Financial Services for eligible financial creditors.
Bengaluru-based Avanti Finance has secured $24m from investors including Rabo Partnerships, Oikocredit, NRJN Trust and IDH Farmfit Fund. The funds will provide support for the company to provide affordable and localised credit products for smallholder farmers in India. More than 180 specialised loan products have already been created, with the investment also supporting remote customer interactions and partnerships with financial institutions for capital efficiency; Avanti aims to increase the number of served households to 1.5 million within two years, with an AUM of over INR25bn ($336m).
According to sources, the bidders who have confirmed their participation in the second round of auction are IndusInd International Holdings Ltd (IIHL) of Hinduja Group, Torrent Investment and Singapore-based Oaktree.
The group has already pledged close to 9% of its 18.37% stake in Tata Sons. After this latest transaction, the entire stake, currently valued at close to ₹94,000 crore, will be pledged to lenders including two foreign banks and several overseas hedge and credit funds.
The Competition Commission of India (CCI) has approved the acquisition of Srei Infrastructure Finance by National Asset Reconstruction Company (NARCL) and India Debt Resolution Company (IDRCL) under the green channel route. NARCL submitted a resolution plan to acquire the majority of the equity share capital of Srei Infrastructure Finance and its wholly-owned subsidiary, SREI Equipment Finance.
Lenders of Reliance Capital may consider extending the deadline for completing the resolution process until May 30 as the second auction round is yet to take place and three bidders still have concerns regarding the compliance of resolution plans with regulatory guidelines, among other issues. The deadline for completing the process has been extended several times in the past. Reliance Capital is the third NBFC undergoing bankruptcy proceedings under the Insolvency and Bankruptcy Code.
Family-run businesses should embrace change, practice proper governance, and develop a succession plan to ensure their long-term survival, according to HDFC chairman Deepak Parekh. Speaking at an event at the Center for Family Business and Entrepreneurship, Parekh noted that achieving success in such businesses often depends on the ability to invite professionals on board and embrace education.
American asset manager Nuveen and Dutch development bank FMO have put in Rs 165 crore each in Arohan while Piramal Alternatives and a European development financial institution invested Rs 200 crore each.
India's Gujarat International Finance Tec-City, or GIFT City, could become a leading centre for the international borrowing needs of Indian companies, as tax breaks that encouraged overseas borrowing come to an end. The centre offers tax-friendly rules, leading several Indian companies to already say they will shift their bond listing activities from overseas jurisdictions to GIFT City. Indian firms raising foreign currency loans could also choose to do so from GIFT City's branches. Since India raised $30bn in foreign funds through the ECB route last year, GIFT City stands to benefit significantly.