Debt

Debt Financing

Piramal ties up Rs.13,500-Cr from Barclays Bank, Stanchart for DHFL buy

Business Line  

The Piramal Group has tied up for the capital required for the INR 37,250-crore resolution plan of Dewan Housing Finance Corporation Ltd (DHFL). The Piramal Group has a cash balance of about INR 5,400 crore as per its balance sheet as on March 31, 2021. It has also obtained a support letter from Barclays Bank in October last year for INR 4,500 crore and has a commitment letter from Standard Chartered Bank for INR 9,000 crore apart from INR 1,500 crore from the sponsor. The resolution plan includes upfront cash recovery of INR 14,700 crore, an entitlement of INR 3,000 crore and debt securities of INR 19,500 crore, which will be paid over a 10-year period.