Future Enterprises Ltd (FEL) on Tuesday said it has defaulted on interest payments of Rs 15.86 crore for its non-convertible debentures. The Kishore Biyani-led Future Group firm had last week disclosed that it had defaulted on payment of commercial paper of Rs 90 crore. On August 20, it had defaulted on interest payment of non-convertible debentures (NCDs) worth a total of Rs 265 crore.
In a regulatory filing on Tuesday, the company said it has defaulted on interest payment of Rs 15.86 crore for a gross principal amount of Rs 327 crore. "The Company is unable to service its obligations in respect of the interest on Non-Convertible Debentures due on September 20, 2020, since September 20, 2020 was holiday, interest was due on September 21, 2020," FEL said.
The obligation had a coupon rate of 9.60 per cent per annum and was paid on half-yearly basis on March 20 and September 20 each year. Last month, the board of FEL had approved amalgamation of Future Group entities with the company to facilitate a Rs 24,713 crore deal to sell the retail and wholesale business to Reliance Retail, owned by Reliance Industries Ltd.
FEL develops, owns and leases retail infrastructure for the Future Group. On September 15, FEL had reported a consolidated net loss of Rs 322.92 crore for the first quarter ended June 2020.
Also read: Next-Gen Ambani