Anil Ambani’s Reliance Infra defaults seven times to Yes Bank since February

Reliance Infrastructure had earlier disclosed in its annual report that it defaulted in making payments of Rs 3,315 crore till March 31, 2020.

Reliance Infrastructure, led by Anil Ambani, has defaulted seven times since February 1, 2020, in making payments for loans given by Yes bank, as per different disclosures made to the stock exchanges by the company. Similarly, the company had defaulted four times in making payments to Jammu and Kashmir Bank (J&K Bank) and SREI Equipment Finance, the disclosures showed.

Reliance Infrastructure could not make timely payments on two term loans of Rs 3,627 crore and Rs 945 crore availed from Yes Bank. Likewise, it had defaulted in making payments on loans of Rs 75 crore from J&K Bank and Rs 27 crore from SREI Equipment Finance.

Reliance Infrastructure’s total borrowings from financial creditors stood at Rs 4,675 crore as on May 31, 2020, which included loans from Yes Bank, J&K Bank and SREI Equipment Finance. The total debt of the company, including all short- and long-term loans amounts to Rs 6,325 crore.

Reliance Infrastructure had earlier disclosed in its annual report that it defaulted in making payments of Rs 3,315 crore till March 31, 2020. The default included payments of both interest and principal to various lenders, including 33 non-convertible debenture (NCD) series holders. The duration of default ranged from 1 day to 640 days.

The company also acknowledged the impact of Covid-19 on its business. “The businesses worldwide have been hugely impacted by the outbreak that has resulted in significant reduction in economic activity across sectors. The company’s business has also been affected due to interruption in construction activity, supply chain disruption and unavailability,” the annual report said.

The company had reported a net loss of Rs 154 crore for the quarter ended March 2020, against a net loss of Rs 3,202 crore during the year-ago period.