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Cash-strapped DHFL defaults on ECB

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The mortgage lender defaulted on $20.17 million, payment for which was due on 16 and 17 September

Cash strapped mortgage lender DHFL has defaulted on repayment of funds raised through external commercial borrowing, the company informed the stock exchanges.

DHFL defaulted on $20.17 million, payment for which was due on 16 and 17 September.

"The Company has been unable to meet its payment obligation of $20.17 million falling due on 16th and 17 September 2019 as per its existing schedule" DHFL said.

The company which has already defaulted on commercial papers and non-convertible debentures (NCD), is negotiating with banks to implement a debt recast plan. Till the plan is executed, DHFL had said earlier, that it may not be able to meet debt obligations.

The total debt of DHFL is around ₹80,000 crore.

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