RDEL gets approval to exit debt restructuring scheme

Mumbai, May 2 (IANS) Reliance Infrastructure (RInfra) controlled Reliance Defence and Engineering Limited (RDEL) on Tuesday said that it has received approval for exiting the corporate debt restructuring (CDR) scheme.

According to RDEL, it has received the approval from the CDR Empowered Group (CDR EG) for exiting the scheme.

"As part of the refinancing scheme approved by the lenders, the door-to-door tenure of RDEL's term loans stands extended to 18 years," the company said in a statement.

"Pursuant to the refinancing scheme, RDEL's existing debt of about Rs 650 crore will also be converted into equity shares at a price of Rs 59.35 per equity share."

The company pointed out that RDEL's shareholders had already approved the "issue of equity shares to lenders by conversion of debt", at the extraordinary general meeting held on March 20, 2017.

"In line with the RBI approval, RInfra through its subsidiary has also increased its shareholding in RDEL to nearly 31 per cent," the statement said.

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