Hindalco Kicks Off Rs 6,800-Crore Mega Loan Pre-Payment

Flush with funds a month after raising equity capital from marquee institutional investors, Aditya Birla flagship HindalcoBSE 0.86 % has decided to pay off Rs 6,800 crore in the current fiscal to its lenders in what would be the largest loan prepayment to domestic banks by a corporate in India. Starting Wednesday , the company is all set to pre pay Rs 4,500 crore in April; this includes a corporate loan of Rs 1,000 crore which was syndicated from a consortium of seven banks and Rs 3500 crore of part-prepayment of its Mahan loan to two domestic banks. 

The company plans to follow this prepayment with another in July this year of its Utkal loan of about Rs 2,300 crore. Having already prepaid Rs 1,260 crore as part-prepayment of its Aditya loan in January 2017, the total prepayment will be Rs 8,060 crore, or nearly 30% of its long-term debt of Rs 27,000 crore. Most of these are 12-15 year loans.Interestingly, the Mahan loan for which prepayment is being made was recontracted in January 2015.As per the schedule, the last instalment is due in 2030. 

For Quick Trial – 8962000225 ✔
or mail us here: info@ways2capital.com
✆ - 0731-6626222 | Toll Free - 1800-3010-2007 
Give a Missed Call for Free Trial - 09699997717 
Share on Google Plus Share on Pinterest

About Suhani Varma

This is a short description in the author block about the author. You edit it by entering text in the "Biographical Info" field in the user admin panel.