Infrastructure Leasing and Financial Services (IL&FS) is all set to launch its infrastructure investment trust (InvIT) aiming to convert the outstanding debt owed to banks in 10 road projects into units of the trust. For this, IL&FS has received all necessary approvals.
To launch the InvIT, the IL&FS has also received the registration certificate from the Securities and Exchange Board of India and the committee of creditors of IL&FS Transportation Networks Ltd has give the requisite approvals for transfer of phase 1 assets. The firm has also cleared the green channel notification from the Competition Commission of India for InvIT, which will help in resolving the outstanding debt of Rs 13,000 crore, it said in its press statement.
IL&FS Solar Power repays entire Rs 845 crore debt
IL&FS statement also added that that amount of Rs 32,000 crore debt addressed represents nearly 32 per cent of the overall debt of over Rs 99,000 crore (as of October 2018) and nearly 57 per cent of the overall targeted recovery value of around Rs 56,300 crore.
Among other details, IL&FS stated that out of the Rs 32,000 crore addressed debt, approximately Rs 21,600 crore of debt addressed basis cash balances and approximately Rs 10,300 crore of additional net recovery expected from resolution and restructuring applications filed with the NCLT (Mumbai) and NCLAT. The approvals for these are awaited.
The debt addressed basis cash balances increased by about Rs 2,500 crore since September 30, 2020, due to the receipt of settlement amount by IL&FS Solar Power (ISPL) for around Rs 780 crore. It was also on account of receipt of the tariff payments from the discom by IL&FS Tamil Nadu Power (ITPCL) for nearly Rs 1,190 crore; and Rs 300 crore recoveries in IL&FS Financial Services (IFIN) from borrowers outside the IL&FS group.
An amount of Rs 7,550 crore for 3 road assets (Chenani Nashri Tunnelway Limited, Jorabat Shillong Expressway Limited, and Chongqing Yuhe Expressway Company Limited); Rs 4,900 crore for restructuring of ITPCL; Rs 1,370 crore towards settlement amounts to be received by Kiratpur Ner Chowk Expressway Limited and Fagne Songarh Expressway Limited pursuant to termination of the relevant concession agreements; and Rs 200 crore for environment and real estate entities have added in the Resolution and Restructuring applications that have been filed with the NCLT (Mumbai) and NCLAT for final approvals.
Citing significant impact of COVID-19, the group mentioned that it has faced some delays in moving ahead on the resolution. Adding more, it said that due dalays in logistical complexities and pandemic, they are facing delay in receipt of approvals from key stakeholders.