 "lenders, creditors, loans, lending, company, firms, industry, shares, investment")
In India, we tend to think of debt that performs vs. debt that goes into the bankruptcy process. However, when there is stress in repayment, the first port of call should be a negotiation that leads to debt restructuring. Restructuring [under the shadow of the Insolvency and Bankruptcy Code (IBC)] is the best of all worlds, and only a few irreconcilable situations should slip into the bankruptcy code. Many features of the Indian institutional landscape come in the way.
Suppose there is debt with a net present value (NPV) of Rs 100. Suppose the firm gets into trouble and this debt
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