The market is thrilled with news coming from GMR.
The company has informed that GMR Chhattisgarh Energy Limited (GCEL), a subsidiary of GMR Infrastructure Limited (GIL) has announced that the consortium of lenders of GCEL have adopted Strategic Debt Restructuring Plan (SDR), as provided under the scheme permitted by the RBI.
Accordingly, GCEL has allotted equity shares to all the lenders.
As per the SDR scheme, out of the total outstanding debt (including accrued interest) of Rs.8,800 Cr, debt to the extent of Rs 2,992 Cr has been converted into equity by which the consortium lenders would have 52.4% shareholding and balance 47.6% would be held by GMR.
Post the conversion, the balance project debt stands at Rs 5,800 crore with Rs 2,992 crore equity held by lenders and Rs 2,721 crore equity held by GMR Group, resulting in the debt-to-equity ratio of 1.0x. The lower debt levels would result in improving the long term viability of the project.
The stock is the top gainer on the BSE currently, up over 7.5% at Rs.17 levels.
This news broke on the 27th of Feb and since then it has been hitting a new high every day – on 27th at Rs.15.95; on 28th at Rs.16.06; on 1st March at Rs.16.25 and today, 2nd March at Rs.17.30.