Punjab National Bank, Bank of India, and Union Bank are among the senior secured lenders of IL&FS Tamil Nadu Power Company (ITPCL) that have received repayments of Rs 2,150 crore from the IL&FS Group. It included principal owed as well as interest that had accrued as of September 30. The repayment, which is a component of a debt restructuring plan endorsed by 88% of lenders, has lowered the outstanding principal owed by ITPCL by more than Rs 1,900 crore.
ITPCL's debt has been restructured in accordance with the prudential framework for the resolution of stressed assets. The debt has been divided into three categories: a portion that is sustainable (which amounts to Rs. 4,250 crore), a portion that is unsustainable, and operational creditors. This is one of the measures being taken to guarantee the company's long-term viability. ITPCL's total debt before the most recent payments was Rs 9,116 crore.
The most recent repayment of Rs 2,150 crore in sustainable debt included Rs 250 crore in interest in addition to Rs 1,900 crore in principal. The National Company Law Appellate Tribunal (NCLAT) authorised the amended distribution framework that IL&FS is using in May 2022. This enables the interim transfer of cash to qualifying creditors, in particular public funds, without needing to wait for the final resolution of the IL&FS business in question.
The company is also far along in the process of getting consent from a select set of lenders to release an additional Rs 300 crore. The IL&FS board has not changed its estimate for the resolution amount of Rs 61,000 crore, which is equivalent to 62% of the entire debt, including both fund-based and non-fund-based components, as of October 2018.
The company made its second such dividend of the year last week when IL&FS Financial Services (IFIN) approved an interim distribution payout of Rs 807 crore. IL&FS pays $2,150 million to the TN Power ArmET Bureau's creditors. The interim distribution payments for numerous subsidiaries have also been completed by IL&FS. These payments totaled Rs 920 crore for the Chenani Nashri Tunnelway (CTNL), Rs 623.3 crore for Rapid Metro Gurgaon (RMGL), Rs 1,273 crore for Rapid Metrorail Gurgaon South (RMGSL), and Rs 919 crore for the Khed Sinnar Motorway.
