IVRCL CDR proposal gets nod

IVRCL Ltd informed the BSE on Tuesday that the Corporate Debt Restructuring Empowered Group (CDR EG), at its meeting held on June 28, had approved the CDR proposal submitted by the company.

The company’s board, at its meeting held on Monday, had passed necessary resolutions for the implementation of the approved CDR scheme and also to obtain shareholders’ approval for passing the necessary resolutions.

In January 2014, IVRCL, which incurred a net loss of Rs 853.37 crore in 2013-14, had initiated the process of CDR prescribed under the Reserve bank of India (RBI) guidelines by way of reference to CDR Cell.

CDR is a mechanism that permits viable companies additional time to meet debt obligations, subject to certain terms and condition.

IVRCL had earlier decided to raise Rs 300 crore either through a rights issue, preferential allotment or institutional placement to fund its projects.

IVRCL scrip closed at Rs 26.50 on the BSE today, marginally down 0.19 per cent compared with the previous close of Rs 26.55 crore.