IL&FS Transportation defaults on interest payment of 2 NCDs
ILFS Transportation Networks, an entity of the crippled ILFS group, Monday said it has defaulted on interest payment of Rs 228 crore on two...
IL&FS Transportation Networks, an entity of the crippled IL&FS group, Monday said it has defaulted on interest payment of Rs 2.28 crore on two non-convertible debentures (NCDs).
The interest payment on both NCDs were due on November 26, the company said in a filing to the exchanges.
Both the bonds were issued on August 25.
On November 22, the company had defaulted on interest payments worth Rs 7.24 crore on NCDs, payable on November 21.
Before that, it had defaulted on interest payment worth Rs 2.29 crore on NCDs payable on November 2. It had also defaulted on interest payment of a similar amount on a different NCD, which was due on November 1.
Infrastructure Leasing & Financial Services (IL&FS) and its subsidiaries have defaulted on many debt instruments in the past few months due to insufficient funds. The group's total debt stood at Rs 94,215.6 crore as of October.
Shares of IL&FS Transportation Networks ended the day 3.97 per cent down at Rs 18.15 apiece on the BSE, against 1.07 per cent rise in the benchmark. Earlier, IL&FS had said it has received more than a dozen responses for its stake sale in IL&FS Securities Services (ISSL) and ISSL Settlement & Transaction Services (ISTSL).
On November 12, the company had initiated the process for divesting its stake in both the subsidiaries. The group has 348 subsidiaries, nearly half of which are overseas.
"More than a dozen expressions of interest (EOIs) towards acquiring IL&FS's stake in ISSL and ISTSL have been received, which the board is scrutinising for eligibility," the company said in a statement. The last date for submitting responses was November 23.
It said a mix of banks, private equity players and other financial services firms have shown interest in buying IL&FS's stake in the two arms.
"The group will shortly be launching the asset monetisation process for sale of many other assets as part of its ongoing resolution process," the release said.