IVRCL says senior lenders to meet this week

Amid speculation over demerger of its property development and EPC business, debt-ridden IVRCL today said the senior lenders of the company will meet this week under the Corporate Debt Restructuring (CDR) mechanism.
Stock exchange BSE had sought clarification from the company over media reports on the possible demerger of the property development and EPC business into a separate entity.
In a reply IVRCL said: "No board meeting of the company has been convened for demerger..."
"The company is under CDR mechanism with the lenders. We understand that there are a few meetings among the lenders and there is a meeting of the senior lenders during this week," the company added.

The banks or the lenders are the major shareholders of the company holding 43.88 per cent of the equity.
The company had earlier said its lenders are deliberating on various debt conversion options of the company under the Corporate Debt Restructuring mechanism.
Strategic debt conversion option will give lenders the right to convert their outstanding loans into a majority equity stake if the borrower fails to meet conditions stipulated under the restructuring package and take control of the company operations.
"To the best of our knowledge, the matter is still being deliberated by the lenders among themselves and no communication has been received by the company yet," IVRCL had earlier said in a regulatory filing.