Essel Group gets more time from NBFCs
Essel Group has repaid more than half its debt to Mutual Funds and other lends (Non-banking financial companies). The company had transferred more up to Rs 2,300 crores to mutual funds and NBFCs, said a source. Meanwhile, it has requested some time to repay the remaining debt. Now, Mutual fund houses are likely to extend the deadline for Essel Groups to repay the remaining debt. It gets time till 30th September from MF and NBFCs.
It has repaid up to Rs 2,300 crores to six mutual fund houses by selling 11 percent of stake in its media units to Invesco Oppenheimer for Rs 4,224 crores.
Essel Groups has already paid 50 percent of debt to the fund houses. However, a group of lenders could extend the time by another three months, said a source.
It had already told that it could sell another 10 percent of stake in Zee entertainments to repay the balance debt to fund houses and other lends before September 30.
Other debt schemes fund houses had an exposure of Rs 7,500 crores to Essel group securities. Aditya Birla Sun Life, ICICI Prudential, SBI, Kotak, Franklin Templeton, and HDFC Mutual funds have exposure to Essel. These fund houses hold the securities of Essel such as Zee, Dish TV, and Essel Infrastructure, as collateral.
According to the reports, last week, it had paid exposures to these fund houses. It paid Rs 780 crores to Adity, Rs 500 crores to HDFC Mutual Fund House, and 200cr to Franklin fund house. It also paid Rs 400 crore, Rs 200 crore, and 220 crores to ICICI Prudential, SBI, and Kotak Mutual Funds respectively.