New Delhi: ABG Shipyard on Thursday said its board has approved the company’s strategic debt restructuring invoked by its lenders.
The board has approved strategic debt restructuring (SDR) invoked by CDR Lenders, it said in a regulatory filing.
The proposal is subject to approval from the shareholders for the company, it added.
The company’s corporate debt restructuring (CDR) lenders include State Bank of India (SBI), ICICI Bank, Dena Bank, Punjab and National Bank (PNB) and IDBI Bank.
It also informed that the board has approved raising of the company’s share capital to Rs. 2,000 crore, which is subject to the approval from the shareholders.
In May, ABG Shipyard said that the company along with the lenders is exploring the possibility of bringing in strategic investor and discussions are going on with several parties.
The debt-ridden firm’s net loss in April-June quarter this fiscal year widened to Rs. 1,710.68 crore as against a loss of Rs. 374.86 crore in the year-ago period.
Its total income during the quarter plummeted to Rs. 2.05 crore, as against Rs. 21.95 crore in the year-ago period.