Unwinding IL&FS: Debt resolution chugs along even after five years, may spill over to next fiscal
From left Clockwise, CS Rajan, Non-Executive Chairman, IL&FS; Nand Kishore, Managing Director, IL&FS; Malini Shankar, Director, IL&FS; Mr. Gurumoorthy Mahalingam, Director, IL&FS: image credit: ilfsindia.com
Synopsis
While sale processes of some assets have progressed, IL&FS has faced significant delays in the InVIT route it took to resolve some of the road assets, as lenders, concessionaires didn’t agree on the terms. Even as there are stiff targets for filing resolutions of remaining companies, at least two dozen are likely to drag on to FY25, show latest filings.
The resolution process of Infrastructure Leasing & Financial Services (IL&FS) is expected to drag beyond this financial year. This is because the proposed resolution of the troubled infrastructure lender through InvITs (infrastructure investment trusts) and other key monetisation proposals are stuck in disputes. Without these realisations, the group’s resolution figures are likely to fall short of INR61,000 crore it has estimated. As
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