Future Retail misses its payment date to its lenders, as part of RBI's OTR scheme for Covid-hit companies
01 January 2022, Mumbai:
Future Retail Friday failed to make scheduled payments of 23,000 crores to its lenders as part of the central bank's one-time restructuring (OTR) scheme for Covid-19 hit companies. people with knowledge of the matter told ET.
As per the OTR scheme signed in April this year, Future Retail was supposed to raise #3,000 crore by selling its nationwide small-format stores, numbering around 900.
But Future Retail was unable to sell these stores to a third party since it had agreed to sell them to Reliance Industries linked companies as part of an arrangement dated August 29, 2020.
The long-stop date to close the transaction with Reliance, which was extended bice, ends on March 31, 2022 Until then, the Future Group is bound by the 2020 agreement with Reliance Industries and thus cannot sell the stores in others.
ET (The news article has not been edited by DFU Publications staff)
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