Reliance capital Stocks Tank: The problems of Anil Ambani Group companies, which are struggling with lack of money, are not diminishing. Now Reliance Capital has failed to repay the interest payment of loans taken from HDFC and Axis Bank. The company has given this information to the Bombay Stock Exchange (BSE). The company has told the exchange that till October 31, 2020, it has failed to pay the interest payment of Rs 4.77 crore of HDFC and Rs 71 lakh of interest of Axis Bank. However, the company also says that the principal amount of both these debtors has been paid.
Shares broke down 5 percent
After the news of Reliance Capital’s default, there has been a big fall in the company’s shares today. Reliance Capital’s stock fell nearly 5 per cent to Rs 9.30 today. The company’s stock closed at Rs 9.75 on the previous trading day. The 52-week high for the stock is Rs 16.20 while the 52-week low is Rs 3.70. The market cap of Reliance Capital has come down to Rs 234 crore.
What is the total debt
Reliance Capital took a loan of 524 crore rupees from HDFC for 6 months to 7 years at an annual interest rate ranging from 10.6 to 13%. At the same time, the company had taken a loan of Rs 100.63 crore from Axis Bank at the rate of 8.25 percent for 3 to 7 years. As of 31 October, Reliance Capital had a total debt of Rs 20,077.14 crore including interest.
There is a delay in the process of selling assets
Reliance Capital told the stock exchange that due to several orders of Delhi High Court and Bombay High Court, it cannot sell its assets. The Delhi and Bombay High Court and the Debt Recovery Tribunal have prohibited the sale of its assets. The company says that due to this, it could not do asset monetization and the company has defaulted on loan payments. The company is unable to proceed with the process of raising funds by selling its assets, due to which there is a delay in repaying the loan.
Losses in the second quarter
Reliance Capital has a loss of 2,577 crores in the second quarter of the current financial year. At the same time, a year ago in the September quarter, the company’s loss was just Rs 96 crore. The company’s revenue declined to Rs 4,929 crore in the September quarter of 2020-21 from Rs 5,064 crore in the same period last year.