Shapoorji Pallonji repays Rs 12,450 cr to lenders, exits debt resolution plan

Shapoorji Pallonji And Company Pvt Ltd (SPCPL) on Thursday said it has repaid Rs 12,450 crore to its lenders to achieve an early exit from the COVID one-time resolution (OTR) plan.

"The accelerated repayment of lenders was enabled by the Mistry family infusing over Rs 5,100 crore into the company in the last year," SPCPL said in a statement.

Besides, it said, SPCPL also achieved marquee monetisations worth Rs 3,750 crore from two of its assets including Sterling Wilson Renewable Energy Limited and Eureka Forbes Limited.

The company's OTR plan was unanimously implemented by all its lenders on March 31, 2021. "The resolution plan only sought a two-year extension of timelines to repay lenders, and did not involve a single rupee of haircut for any lender. The lender's consortium was led by the State Bank of India in its capacity as the facility agent."

SPCPL said its OTR was India's largest OTR and "possibly" the first to get fully repaid within one year of implementation.

SPCPL is one of India's oldest engineering and construction companies with diverse interests including in real estate and oil and gas. Its construction business has an order book of over Rs 30,000 crore. 

Commenting on the development, a spokersperson of the Shapoorji Pallonji Group said, "We are very happy to have repaid all our lenders ahead of plan. We expect this development to have a positive impact on the Group's credit outlook. We thank all our stakeholders including our business partners and bankers for their trust in us. We are confident that we will emerge stronger as a Group."

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