Amtek Auto's debt may come down by 75%

Company close to reduction of Rs 10,500 crore in debt

Amtek auto, Amtek
A worker at Amtek Auto

Debt-ridden auto-component maker Amtek Auto is learnt to have moved closer to effecting plans to cut three-fourths of its debt of Rs 13,500 crore by the middle of 2017. As much as Rs 10,500 crore is expected to come from the asset sale and an infusion of capital by overseas investors. The creditor banks may convert their loans into equity. Tekfor, a German forging company acquired by Amtek in 2013, will be sold first. Selling Tekfor, which is expected to bring in the bulk of the Rs 10,500 crore, has taken longer than expected due to valuation issues.  A company ...