India: Lenders led by SBI, IDBI to take control of debt-laden IVRCL

India: Lenders led by SBI, IDBI to take control of debt-laden IVRCL

IVRCL chairman and managing director E. Sudhir Reddy. Photo: Mint

Creditors of IVRCL Ltd have decided to convert their Rs.7,500 crore of loans to the Hyderabad-based road developer into a majority equity holding.

The lenders, led by State Bank of India and IDBI Bank Ltd, have invoked the so-called strategic debt restructuring (SDR) initiative, which allows them to convert debt into at least 51% equity in a borrower.

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