About 328 entities opt for RBI's 3-month moratorium: Icra
This is a voluntary measure and interest keeps accruing on the loan during theperiod of moratorium, and experts have opined that such a move would generally elongate the loan repayment period
Three-month moratorium on their debt repayments, rating agency Icra said on Saturday.The list of entities, rated by it, include Air India Express, ONGC Petro Additions, entities from Tata Group, JSW Group and GMR Group. On March 27, the RBI had given borrowers a three-month moratorium on debt repayments for the March-May period due to the COVID-19 pandemic.
Icra said it is disclosing the names of the entities as per a mandate received from Sebi, and made it clear that missed payment by these entities even in the case of pending formal approval from the lending institutions prior to the original due date, is not considered an instance of default.
Air India Express having a debt of Rs 1,301 crore, and ONGC Petro Additions -which had debt of Rs 33,180 crore and USD 155 million in foreign borrowings, have opted for the moratorium on its loans, the agency said. Interglobe Hotels, with debt of Rs 811 crore, and having its outlook on rating revised to negative earlier this month due to worries on the hospitality sectors, has also opted for the moratorium, it said, adding that other hospitality sector companies, including Lemon Tree Hotels, and Barbeque Nation Hospitality have also sought relief.
Among the financiers, city-based Centrum Financial Services, Creditaccess Grameen, Indostar Capital Finance, Madhura Micro Finance and Spandana Sphoorty Financial have opted for delays in their repayment of their debt commitments - like on commercial paper borrowings, even as banks are yet to arrive on whether to accord the relief to the NBFCs.
Courtesy: Business Insider