Pipavav Defence to exit CDR: Reliance Infra

It'll be renamed as Reliance Defence

Reliance Infrastructure (RInfra) today announced Pipavav Defence & Offshore Engineering Co Ltd (PDOC) intends to exit the CDR (Corporate Debt Restructuring) package that the lenders had approved in March 2015. RInfra is currently in the midst of completion of acquisition of PDOC.

RInfra in a release said: ''The exit from the CDR is expected to lead to improved financial flexibility and increased business opportunities in the defence sector. It is expected that the change of control, reconstitution of the board of PDOC, and change of name of the company to Reliance Defence and Engineering Ltd, will be completed in January 2016.

The mandatory open offer to acquire up to 26% shares in Pipavav Defence from the public at Rs 66 per share will open on December 2 and close on December 15. The promoters of Pipavav Defence have sold their 18% holding in the company for Rs 819 crore.