Rel Defence, Rel Infra gain on lenders' approval to exit CDR

Shares of Reliance Defence and Engineering Ltd (RDEL) and Reliance Infrastructure today rose up to 3 per cent after RDEL secured nod from a consortium of lenders to exit its corporate debt restructuring package.
The scrip of RDEL gained 3.36 per cent to settle at Rs 66.05 on BSE. During the day, it jumped 4.85 per cent to Rs 67.
Shares of Reliance Infrastructure also moved up by 2.18 per cent to end at Rs 574.80. In intra-day, it rose by 2.56 per cent to Rs 577.
The consortium of lenders, led by IDBI, has agreed to the exit plan of the RDEL, a subsidiary of Reliance Infrastructure, with a longer maturity period for loans worth about Rs 6,800 crore, sources said.

The lenders have also given their go-ahead to implementation of refinancing scheme of the RDEL.
Both the proposals were presented to the CDR Empowered Group's (EG) meeting on March 29 and approved by the requisite majority of CDR lenders.

Reliance Infrastructure has increased its shareholding in Reliance Defence and Engineering to nearly 31 per cent.
Reliance Infra had acquired Pipavav Defence and Offshore Engineering Company in March 2015 and later renamed it as Reliance Defence and Engineering.
Immediately after the acquisition, Reliance Group had announced its plans to exit CDR.