Debt-ridden As of December 31, 2022, Future Lifestyle Fashion Ltd (FLFL) reported that its entire outstanding debt would be decreased to Rs 1,827.82 crore, while its total default would be Rs 1,465.67 crore. In a regulatory filing, FLFL stated that its default of Rs 1,465.67 crore "comprised of the persistent default" of Rs 436.01 crore for the quarter ending in September 2022.
The company also stated that the "Listed Non-Convertible Debentures (NCDs) of Rs 350 crore" and "delayed interest on NCDs of Rs 42.98 crore" are included in the total amount of outstanding loans.
As a result of the company's debt repayments, the total amount of outstanding financial debt fell from Rs 2,008.44 crores as of June 30, 2022, to Rs 1,827.82 crores as of December 31, 2022, according to the statement.
On April 30, 2021, FLFL's lenders put One Time Restructuring (OTR) into effect.
The accounts of the company were subsequently classed as non-performing assets on May 31, 2022, according to the statement, "in view of the non-repayment of the principal amount due under the aforementioned OTR."
In a regulatory update released last Friday, FLFL told BSE that company was the subject of three petitions seeking to start insolvency proceedings against it before the Mumbai bench of NCLT.
"The Company is defending itself in front of the NCLT against the proceedings brought under the Code (IBC) for their claim. As of yet, none of them have been accepted "It stated.
Nearly a dozen garment brands, including Lee Copper, Champion, aLL, Indigo Nation, Giovani, John Miller, Scullers, Converse, and Urbana, are represented in FLFL's portfolio of exclusive brand outlets (EBOs), multi-brand outlets (MBOs), and in-house retail chains Central and Brand Factory.
In order to reduce its debt, the corporation was considering asset monetisation.
A Rs 24,713-crore contract announced in August 2020 called for the transfer of FLFL, one of 19 group firms engaged in the retail, wholesale, logistics, and warehousing sectors, to Reliance Retail.
In April, the agreement was cancelled by Reliance Industries Ltd., which is managed by billionaire Mukesh Ambani. Following that, multiple payment defaults occurred at companies in the Future group.
Comments
Post a Comment