Jaiprakash Associates has entered into a settlement pact to transfer more than 18.9 crore shares to ICICI Bank.

“This is to inform you that, to give thrust to the ongoing efforts of the company to reduce its debt, the company, along with Trusts holding 18,93,16,992 equity shares of the company have entered into a settlement agreement with ICICI Bank (Lender) to transfer the said shares to lender. The value/consideration of the said shares shall arrive based on the closing price at National Stock Exchange of India Ltd on the day before the day of actual transfer of shares to the Demat account of the lender,” Jaiprakash Associates said in a stock exchange filing.

On April 29, Jaiprakash Associates Ltd informed it defaulted on repayments of a principal amount of ₹1,653 crore and interest of ₹2,508 crore. Last year, the State Bank of India (SBI) has filed a corporate insolvency petition against the company for a debt default of ₹6,892.48 crore.

Jaiprakash Associates’ latest shareholding disclosure shows its promoters held 37.7 per cent stake in the company, of which 20.46 per cent was pledged as of September 30, 2023.