New Delhi. Lenders of debt-ridden Reliance Capital (RCAP) have raised concerns over the condition letter provided by Hinduja Group company IIHL to raise a loan of Rs 7,300 crore for the acquisition. Sources said that the Committee of Creditors (CoC) has expressed concern that the bankers of Indusind International Holdings Limited (IIHL) have imposed many conditions for the offer of a loan of Rs 7,300 crore and some of these conditions can be fulfilled only after the implementation of the resolution plan by IIHL.
This has made it nearly impossible to raise the funds required for the resolution plan to pay RCAP debtors, sources said. A message sent to IIHL seeking comment on the issue remained unanswered till press time. Further, sources said the condition letter indicates that additional terms and conditions may be introduced in the final binding agreements. They said the CoC has requested that IIHL should also provide these certain documents for review.
It is noteworthy that IIHL is raising Rs 7,300 crore through debt to finance the RCAP resolution plan, while the remaining Rs 2,750 crore will be raised through equity or cash, which IIHL has deposited in the escrow accounts of the CoC. IIHL has appointed 360 One and Barclays to raise Rs 7,300 crore through debt. Of this, 360 One has been tasked with raising Rs 5,000 crore, while Rs 2,300 crore is being raised by Barclays. According to sources, the term sheet of Rs 7,300 crore was shared with the CoC on the instructions of the Mumbai bench of the National Company Law Tribunal.
