They also informed local banks that the group would not utilize additional loans from the sanctioned limits if lenders were not comfortable with it at the moment. On 24 January, US-based short seller Hindenburg Research alleged accounting fraud and stock manipulation at its companies, allegations that the conglomerate has strongly denied.Įxecutives from the group have also reached out to domestic lenders, assuaging their concerns on the stock rout and informing them that the group has enough funds to repay on time. A day earlier, it reported that senior Adani executives would present to investors a strategy that includes liquidity planning for the next three years, a roadmap for repaying or pre-paying maturities, among other plans. He spoke on the sidelines of a roadshow in Hong Kong, where he is attending investor meetings. Meanwhile, reacting to a query before Monday’s story on RBI monitoring Adani loans, a spokesperson for the group had said in an emailed response that it does not comment on speculation.īloomberg reported on Tuesday that the Adani group is not seeking to refinance the debt or inject capital, citing its chief financial officer Jugeshinder Singh. Under RBI’s large exposure framework, banks can lend up to 25% of their total tier 1 capital to a connected group of companies and 20% to a standalone entity.Įmails sent to spokespeople for RBI, the Adani group and its largest domestic lender State Bank of India (SBI), remained unanswered till press time. On 3 February, citing a current assessment, RBI said that the banking sector remains resilient and stable, adding that banks are also in compliance with the large exposure framework guidelines issued by the RBI. An increase in the utilization of limits would mean that the companies are in need of more funds from local banks and not tapping other sources, the banker said. He added that RBI wants to use it as a proxy for any imminent stress in the group that could affect the banking sector. The regulator has not said how long we have to keep submitting this data," the banker said. These are not fresh loans but are limits already sanctioned by lenders. “RBI is looking very closely at whether the group is drawing more funds from banks.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |