Banks scout buyers for Future Retail stake after Biyani's loan default

Banks, which have a significant exposure to both Future Retail (FRL) and its promoters, are nudging the company to go for an all-stock merger with an existing retail player. The move has been expedited after its promoter Kishore Biyani defaulted on loans in March  and FRL’s share price collapsed from its recent high in February.
 

According to a banker close to the development, the lenders have approached India’s top retail players to evaluate the possibility of a merger.

“The company may not get a good valuation due to the falling financial metrics. It is also short in cash of