Unitech promoters repay Rs 250 cr to creditors

The promoters of Unitech have repaid the entire Rs 250 crore they borrowed from a clutch of investors by pledging their shares a year ago.

The investors from whom the funds were raised had issued a notice on January 28 giving virtually no time to Unitech's promoters to return the money, failing which they threatened to sell the pledged shares in the market on January 31.

This forced Unitech's promoters to move the Delhi High Court on January 31 to obtain a stay on sale of the shares by the creditors.

The promoters had raised Rs 250 crore from high net-worth individuals (HNIs) last year through the issue of non-convertible debentures and had pledged shares in the country's second-largest realty firm to raise the funds. Morgan Stanley was the banker of the debenture issue, sources said.

The total outstanding amount in lieu of the pledged shares on January 28 was Rs 178 crore, which the promoters were required to pay by May this year, sources said, adding that the promoters have repaid the entire amount in three tranches.

"The repayment was done in three stages -- 30 per cent of Rs 178 crore on January 31, 20 per cent on February 4 and the balance was paid yesterday," a source said.

The repayment was done 17 days ahead of the deadline given by the Delhi High Court.