Zero cash flows during Corona time spark fire sale of India Inc's assets

Not just mid- and small-sized firms, even big ones will either sell group companies or stakes in their listed entities to tide over crisis; more sell-offs seen in coming months

Hit by falling cash flows and low demand, several Indian companies are dialing their investment bankers to speed up the sale of assets in order to survive the pandemic. Companies with high debt are especially vulnerable, as their finance costs will remain high amid low cash flows.
 
Chief executives said that with economic recovery looking uncertain in the near term, and with corporate revenues expected to fall another 16 per cent in the current financial year, asset sales will gain momentum.
 
“It’s not only the mid- and small-sized companies, but even the big boys who will either sell