Future Group arm defaults on debt repayment of Rs 22 cr due September 5

In a regulatory filing, the company said it has been unable to service its obligations towards payment of principal redemption and interest due on September 5, 2020

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Future Consumer | Future Group | loan default

Press Trust of India  |  New Delhi 

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The redeemable non-convertible debentures with 36 months tenure are to be redeemed in three instalments of 30:30:40 at the end of 18th, 24th and 36th month from the date of allotment, the company said.

firm Ltd (FCL) on Monday said it has defaulted on payment of principal redemption and interest on non-convertible debentures.

The current default amount includes principal of Rs 20 crore and interest of Rs 2.03 crore, payable annually, it said.

In a regulatory filing, the company said it has been unable to service its obligations towards payment of principal redemption and interest due on September 5, 2020.

"The company has approached the debenture trustees seeking deferment of the said obligations such that 50 per cent of the amount due shall be paid on or before September 30, 2020 and the balance 50 per cent to be paid by December 31, 2020," it said.

FCL further said, "The debenture trustees having approached few of the debenture holders to obtain their consent to the aforesaid proposal for deferment, and in order to have clarity on the same, have called for a meeting of the debenture holders on September 9, 2020." The number of investors in the security as on date of default is 95, the company said.

The redeemable non-convertible debentures with 36 months tenure are to be redeemed in three instalments of 30:30:40 at the end of 18th, 24th and 36th month from the date of allotment, the company said. FCL is the FMCG arm of the Future group, which had last week announced to sell its the retail and wholesale business in a Rs 24,713 crore deal to Reliance Retail, owned by oil-to-chemical conglomerate Reliance Industries Ltd.

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First Published: Mon, September 07 2020. 23:23 IST