Indiabulls Housing Finance (IB Housing Finance) has moved RBI to buy back non-convertible debentures worth ₹1,375 crore maturing in September and ₹1,330-crore rupee-denominated bonds (masala bonds) maturing in October.
The early redemption of NCDs that is maturing in September include ₹660 crore of funds raised by way of public issue, said the housing finance company which was till recently facing tough times due to allegation of fund diversion by its promoters.
IB Housing Finance has also bought back NCDs worth ₹2,173 crore maturing in July and August.
On the back of strong cash position, the company is now offering to buy back NCDs subject to applicable laws and debenture holders’ consent, said IB Housing in a statement on Wednesday. Last month, the company was in news after one of the investors, Abhay Yadav, filed a petition in the Supreme Court against the company’s promoter Sameer Gehlaut for allegedly misappropriating funds. However, the case was subsequently withdrawn by the investor.
The Indiabulls Group has announced plans to exit the real estate business with its Chairman Gehlaut selling his stake in the venture. The group plans to focus on the financial services business with the proposed merger with Lakshmi Vilas Bank (LVB).
Last month, the Competition Commission of India approved the merger between IB Housing Finance and LVB. The merger is subject to approvals from other regulators and authorities.
In April, the board of LVB announced its merger with IB Housing Finance in a share-swap deal.
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