Vishal Retail lenders are likely to support the debt restructuring proposal by Kishore Biyani’s Future Group. The company had sent its proposal to Corporate Debt Restructuring (CDR) and the Bank of India.
Though no final decision has been passed, the officials of banks, who are aware of the case, would meet to discuss the proposals from Future Group and the private equity firm TPG to make some crucial decisions on resolving the bad loan situation.
Vishal's biggest creditors include State Bank of India (SBI) and Bank of India. Other banks with exposure to the retailer include HDFC and HSBC. Together, they have provided financial support of `Rs750 crore to Vishal Retail’ and are looking for a new owner for the company.
Earlier, TPG was the sole player to take interest in the ailing retailer but the emergence of Future Group as another contender to acquire some assets of Vishal Retail, the whole tale has taken another twist. But bankers are still open to new proposals to act in the best advantage of Vishal.