The Shapoorji Pallonji group, a leading construction group, holds over 18 per cent stake in Tata Sons, the holding company of the Tata group.
Shares of Sterling and Wilson Solar (SWSL), promoted by Shapoorji Pallonji and Company (SPCPL) and Khurshed Y Daruvala, have tanked 49.33 per cent to Rs 283.75 in the last eight sessions on the stock exchanges amid concerns over loan repayment by the company.
On Wednesday, the stock declined by another 1.78 per cent after the company clarified that “there is absolutely no reduction sought in the inter-company loan by the promoters from the company as mentioned in various media coverages”. The stock is now trading at a discount of 63.6 per cent below the IPO price of Rs 780 per share.
The Shapoorji Pallonji group, a leading construction group, holds over 18 per cent stake in Tata Sons, the holding company of the Tata group.
On November 14, SWSL informed the stock exchanges that the promoters had requested the board of directors of the company to consider a revised repayment schedule for the balance outstanding amount which was reduced to Rs 2,341 crore (principal amount of Rs 2,085 crore and interest Rs 256 crore) as on September 30, 2019 “due to the significant and rapid deterioration in the credit markets” creating a significant liquidity crisis, which was unforeseeable. It also cited the lesser than expected realization from the IPO, given that the amount realised from the IPO was Rs 2,850 crore before expenses and taxes as compared to Rs 4,500 crore as initially contemplated.
According to the company’s stock exchange filing, the promoters further stated that SPCPL will endeavour to reduce the outstanding loan by Rs 1,000 crore from the level as of the date of listing, by December 31, 2019. The board took note of the letter and authorised the Audit Committee of the board to work with the promoters to draw up a plan by December 31, 2019, for repayment of the balance amounts, it said.
“The board has also decided to levy an additional interest rate of 50 basis points over the current interest rate being applied to the said outstanding loan, taking the applicable interest payable to 100 basis points per annum which is above the weighted average interest rate on borrowings of the company,” the filing said.
Essel Group to sell 16.5% stake in Zee
Mumbai: The Essel Group, the promoter of Zee Entertainment Enterprises (ZEEL), will sell a 16.5 per cent stake in the media firm to financial investors in a block deal.
The proceeds of the sale transaction will be used to repay loan obligations to the lenders of the group with whom the shares are currently pledged, the company said on Wednesday.
Following the transaction, Essel Group’s overall holding in Zee Entertainment will be 5 per cent , out of which encumbered holdings of the group will be 1.1 per cent . Punit Goenka will continue as managing director and chief executive officer of ZEEL post the stake sale, sources said.
OFI Global China Fund, a subsidiary of the American financial investment firm Invesco Oppenheimer Developing Markets Fund, will pick up 2.3 per cent out of the 16.5 per cent stake sale.
Source: indianexpress
