Religare Enterprises share price: Religare Enterprises drops 3% due to subsidiary’s interest default

0
NEW DELHI — Religare Enterprises lost 2.5% in its first trade on Wednesday as the company announced on Tuesday that its debt-laden subsidiary Religare Finvest defaulted on interest due on non-convertible debentures earlier this week.

The company defaulted on an interest amount of Rs 2.41 crore, Religare Enterprises said in a regulatory filing.

Religare Enterprises share price fell to a low of Rs 121.75 from Rs 124.85 at the previous close on the National Stock Exchange.

Due to the default, four investors are at risk of being deprived of their dues, PTI reported.

Earlier this month, the Reserve Bank of India turned down RFL’s restructuring, with Religare Enterprises continuing to be its promoter since NBFC was declared a ‘fraud’ exposure by lenders, according to the report. PTI.

RFL then filed a writ petition in the Delhi High Court seeking a stay of enforcement of the aforementioned order in addition to other remedies, it said, according to the report, adding that the High Court of Delhi had suspended the disputed RBI communication dated February 11, 2022.

“As a result, RFL applied to ASM for an interest payment certificate for RFL NCDs Series-36 to eligible debenture holders which was due on March 28, 2022; however, approval has not been received,” it said. -he declares.

Last month, RFL defaulted on interest payments to bondholders due on February 25 due to mismatches between assets and liabilities.

RFL is barred from undertaking new business as it has been under a corrective action plan by the Reserve Bank of India since January 2018 due to its poor financial health.

Share.

Comments are closed.