Future Enterprises Limited (FEL) shares are trading over 6 per cent in the red today after the company defaulted on payment of Rs 94 crore to Punjab National Bank and Canara Bank under the one-time restructuring plan (OTR).
On Thursday, FEL informed the exchanges that the amount was due on March 23, 2022. "The company was not able to discharge the aforesaid obligations to respective Banks/Lenders, on due date," it informed the bourses.
FEL shares are down by about 50 paise at Rs 6.60 from its previous close of Rs 7.05 at the National Stock Exchange (NSE).
However, it also said that it has a review period of 30 days from the due date to make the payment citing an RBI circular dated August 6, 2020.
Many Future Group companies had entered into agreements with their lenders in a resolution framework under the RBI circular for mitigating Covid-related stress.
Future Retail Ltd (FRL), the group’s leading company, had defaulted on payment of about Rs 3,500 crore in January this year under the OTR plan.
Future Group, in August 2020, had announced that it would sell assets of 19 of its firms operating in various sectors to behemoth Reliance Industries Ltd’s subsidiary Reliance Retail. It has been embroiled in court battles with Amazon since last year as the latter claims that FRL had violated their contract by entering into the deal with rival Reliance Retail.
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