Debt Restructuring For Stressed Account

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Debt Restructuring For Stressed Account

Stressed Assets have in recent years increased substantially and banks have triggered legal options including invoking provisions of Sarfaesi Act 2002 ,DRT and NCLT.

Our expertise lies in suggesting ways & means to revive a company and save the capital invested by promoters and banks (capital is scarce in a developing country like India), evolve a plan to re-establish the viability and help the ailing company achieve a turnaround if the business potential is positive, market outlook is good, company has the infrastructure to scale up operations and promotes are able to re-invest in the project along with banks.


Debt restructuring – Our approach and structured process we adopt

  • Thorough evaluation of the business plan and revenue model
  • Establish the critical reasons for failure of a business
  • Measures to address the various factors like restarting plant / increasing scale of operations, assessing working capital to manage the business, clearance of statutory dues, improve product costing, etc
  • Assessment of defaults to banks/ others and prepare a plan to arrive at the sustainable debt levels
  • Innovative debt restructuring scheme (our strength) where the company will be able to achieve a turnaround in the interest of all the stake holders
  • Workings for Banks who have invested by way of loans should be able to mitigate their sacrifices/ loss on successful implementation of the revival scheme
  • Process which ensures that the revival scheme is in compliance with norms set by Reserve Bank of India as also the scheme of the lending bank/s


Sample Restructuring assignments handled:

  • GSFC - Fertilisers (Rs.1400 Cr)
  • GACL – Chlor Alkali (Rs.400 Cr)
  • Searchchem (now merged with UPL) – Chlor Alkali (Rs.140 Cr)
  • ITC Bhadrachalam (now merged with ITC) -- Paper Boards (Rs.200 Cr)
  • Rayalseema Alkalies (Chlor alkali) (Rs.130 cr)
  • Ganpati Sugars (sugar) (Rs.60 cr)
  • Vijayjyot Seats (auto ancillary) (Rs.35 Cr)
  • Techni Bharthi Pvt.Ltd (Infrastructure) (Rs.20 Cr)
  • Bhagiratha Engineering (Infrastrucure) (Rs.100 Cr)
  • IMP Power (OTS) (Rs.10 Cr)
  • Vanity Jewels (OTS) (Rs.10 Cr)
  • GIPCL (Transaction structuring) (Rs.200 Cr)
  • Shivshakti Grains (Rs.25 Cr)


Ongoing Transactions:

  • Textrade International (Rs.225 Cr)
  • KS Glass Industries Pvt.Ltd (OTS, Stake acquisition and restructuring) (Rs.67.30 Cr)