Hindustan Construction Company completes debt resolution plan

Company assigns Rs 2,854.4 cr of lenders' liability and claims of Rs 6,508 cr to an SPV

HCC, Hindustan Construction Company

BS Reporter Mumbai
Hindustan Construction Company (HCC) has completed its debt resolution plan, duly supported by 23 banks. The resolution plan has carved out a significant portion of HCC’s debt along with commensurate assets from its balance sheet.

Under this debt resolution plan, HCC has transferred Rs 2,854 crore of lenders’ liability along with beneficial economic interest in arbitration awards and claims of Rs 6,508 crore as consideration to a Special Purpose Vehicle (SPV). This SPV will have an external investor controlling at least 51 per cent stake and HCC holding the rest.

The SPV's debt is significantly over-collateralised and is expected to be fully

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First Published: Sep 26 2022 | 10:30 PM IST

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