Reliance Infrastructure Limited's 16 lenders have signed the inter-creditor agreement (ICA), the Anil Ambani-owned company said on Thursday, adding it aims to be debt free by next year.
"Reliance Infrastructure has now achieved standstill for 180 days as per the ICA," it said. According to the Reserve Bank of India (RBI) circular of June 7, the resolution plan of Reliance Infrastructure is to be implemented within 180 days.
"Reliance Infrastructure is confident of implementing its resolution plan well before the 180 days deadline based on advanced progress of its various asset monetisation initiatives," it said in a statement.
As per the RBI framework, the resolution plan has to be agreed to by 75 per cent of the lenders by value of debt and 60 per cent by number of lenders.
Reliance Infrastructure has already announced the sale of Delhi-Agra Toll Road for enterprise value of Rs 3,600 crore. With this single transaction, debt of Reliance Infrastructure will reduce by over 25 per cent to just over Rs 4,000 crore.
The company also plans to monetise its marquee seven lakh square feet Reliance Centre in Santacruz by way of long-term lease. "The company aims to be zero debt in 2020," it said.
Reliance Infrastructure is one of the largest infrastructure companies, developing projects through various special purpose vehicles (SPVs) in high growth sectors like power, roads and Metro rail in the infrastructure space and the defence sector.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)