Suzlon has been negotiating for several months with its key lenders under India’s CDR (corporate debt restructuring) mechanism.
Today the company said it has formally agreed a CDR package with a consortium of 19 banks.
The deal includes a two-year moratorium on principal and term-debt interest payments, a 3% reduction in interest rates and a six-month moratorium on working capital interest.
Suzlon adds: “As part of the package $ 270m (two year’s interest payment during moratorium) will be converted into equity /equity-linked instrument over the next two years to bring stronger financial stability."
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