Bharati Shipyard, which recently announced debt restructuring of INR 2,854 crore under CDR program, will continue to service INR 306 crore debt which is outside the CDR, as per repayment schedule.

The company owes INR 306 crore to five lenders, and the maximum amount has been extended by Development Bank of Singapore. Other four lenders are L&T Infrastructure Finance Ltd, Catholic Syrian Bank, Tata Capital and SICOM, a finance company partly owned by government of Maharashtra.

There is component of external commercial borrowings of about INR 100 crore and unsecured loans worth INR 70 crore.

Mr PC Kapoor MD of Bharati Shipyard said that "These lenders are outside the purview of CDR mechanism. They will not be subject to the provisions of the final restructuring scheme. Thus, the company will meet the obligations as per the terms and conditions originally finalised with the respective banks/financial institutions on the respective due dates."

The company refused to give details of the payment schedules to these companies citing confidentiality.

Apart from the total debt of INR 3,250 crore, the company has an outstanding non fund based limit of INR 2,400 crore as on date. The company clarified that “These are the various letters of credit and bank guarantees issued by various lenders. These are non fund based facilities and not debt.”

(Sourced from BS)