AHMEDABAD :ANJAR : GUJARAT : 24/05/2015. Workers busy in their work at Welspun Textile spinning mill at Anjar Kutch on 23rd May 2015., Welspun India Limited (WIL), part of the Welspun Group its new spinning facility at Anjar, Gujarat - the largest under one roof in India. This new, world-class fully automated facility at Welspun City, a 2,500 acre township set up in the heart of Anjar. As a US$ 3 billion company, Welspun Group is one of Indias fastest growing conglomerates, registered at a CAGR of 30% over the last decade.In the Line Pipe sector, Welspun has to its credit some of the most prestigious projects including the worlds deepest pipeline project in the Gulf of Mexico, U.S.A; heaviest pipeline project in the Persian Gulf; highest LNG pipeline project in Peru and longest pipeline project from Canada to the US. While in the Home Textiles sector, Welspun is the largest integrated towel manufacturer in Asia, a leading supplier to 14 of the top 30 US retailers, and a global supplier offering the entire range of products within the segment Welspuns manufacturing base sits in its core facilities at Anjar, Gujarat, while other units are diversified in different parts of India with one plant each in USA and Saudi Arabia. Photo : Vijay Soneji. - | Photo Credit: Vijay Soneji - Vijay Soneji
Lenders, led by SBI, are considering restructuring troubled textile manufacturer Alok Industries’ debt of over ₹18,000 crore, under the S4A (Scheme for Sustainable Structuring of Stressed Assets), sources said.
This follows the lenders’ failed attempt to implement a strategic debt restructuring (SDR) in the company, said bankers, adding that a techno-economic viability study is currently on.
“In the last meeting of the joint lenders forum (JLF), which took place after the SDR failed, there was a discussion that S4A can be implemented at Alok Industries. A decision on this will be taken soon,” said a banker, adding that since the city-based company has a good cash flow, S4A is possible.
The Reserve Bank issued the S4A guidelines last month to help both banks and struggling companies to tackle debt. The scheme allows debt-laden companies to get working capital from banks, unlike the SDR scheme where a company is not eligible for fresh funding from lenders.
So far, only a few companies, such as HCC have been able to get the S4A option implemented.
The S4A scheme envisages determination of a sustainable debt level for stressed borrowers, and bifurcation of outstanding debt into sustainable debt and equity/quasi-equity instruments.
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Published on July 24, 2016
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