Krebs Biochemicals - Updates
Krebs Biochemicals & Industries Ltd has informed BSE that the Company is running in losses for the preceding three years and finding it difficult to meet the schedule of payment of installments on term loans in time. To overcome the situation, the Company decided to approach the Corporate Debt Restructuring (CDR) Cell with a request to rearrange the loan repayments and reduce immediate liability.
In their meeting held on March 05, 2008, the Empowered Group of the CDR Cell considered and approved the following proposals:
1. Reduction of interest rate on term loans to 9% per annum
2. Reduction of interest rate on working capital to 8.5% per annum
3. Conversion of 50% of working capital limits as on October 01, 2007 as working capital term Loan.
4. Funding of interest on WCTL/FITL/TL from October 01, 2007 to March 31, 2009 at 9% p.a.
5. Repayment of WCTL/FITL/TL in 20 installments commencing from April 01, 2010.
6. Sale of assets of the Food Division of the Company.
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