Videocon Industries: Repaying loans is only a question of time
Brushing aside rumours that Videocon chief Venugopal Dhoot has left the country, the company expresses confidence that it will be able to repay its lenders soon.
The company has conveyed through various media outlets that it is servicing its foreign bank loans and is committed to settling its dues with the Indian banks in a few months time. In an interview, Dhoot has said that repaying banks is only a question of time. He stated that the bank is still paying interests to SBI, based on a formula negotiated by the bank. The company reiterated that has been servicing all foreign loans and no bank will have to take a haircut.
The company plans to raise Rs. 30,000 through the sale of stakes in Brazil oil blocks which is held by Videocon Hydrocarbon Holdings. The company is also hopeful that the Videocond2h and DishTV merger will take place in the next few days.
Videocon Industries owes Rs. 20,000 crore to banks. The company featured in the second list of 28 defaulters that RBI directed the bank to refer to NCLT and resolve their debts by the end of calendar 2017.
Reacting to the news, at 10:35 hours, the stock of Videocon Industries was locked in upper circuit at Rs. 13.39 per share, up by 4.94 per cent on Friday.