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DHFL submits debt restructuring plan to core lenders

India's debt-laden shadow bank Dewan Housing Finance Ltd (DHFL) has submitted a restructuring plan to its core committee of creditors (CoC), two sources involved in the matter said, adding that lead lenders were deliberating over the plan. DHFL, the fourth-biggest housing finance company in India

BY Realty Plus
Published - Jul 31, 2019 6:30 AM

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India's debt-laden shadow bank Dewan Housing Finance Ltd (DHFL) has submitted a restructuring plan to its core committee of creditors (CoC), two sources involved in the matter said, adding that lead lenders were deliberating over the plan. DHFL, the fourth-biggest housing finance company in India, has roughly 1 trillion rupees ($14.5 billion) of debt and is in the process of seeking lender approval on a restructuring designed to help it ride out a liquidity crunch and restart its lending business. Several Indian non-banking finance companies (NBFCs), including DHFL, have been stung by an acute credit crunch sparked by the collapse of Infrastructure Leasing & Financial Services late last year. The restructuring plan submitted by DHFL includes the founder's family reducing its stake and a restructuring of loans, said one of the sources aware of details of the plan.

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