India

Nearly 80 large borrowers, with at least Rs 2000 crore of outstanding loans each, are likely to be impacted by the Reserve Bank of India's February 12 circular on non-performing loans unless they implement a resolution plan before the August 27 deadline, sources told CNBC-TV18. According to the central bank's revised framework for the resolution of stressed assets, now popularly referred to as the February 12 circular, banks were given 180 days to resolve defaulting accounts of over Rs 2,000 crore, CNBC-TV18 reported.

Force India mechanics were preparing their cars for the Belgian Grand Prix on Thursday despite lingering uncertainty about the Formula One team’s eligibility to race after a change of ownership, Reuters reported. The pink and white trucks and hospitality unit had no Force India branding, with the official team name appearing only over the garage on signs put up by Spa circuit organisers.

India’s Ambani brothers have completed the first part of a long pending multibillion-dollar telecom transaction, after months of uncertainty amid insolvency action against the stricken Reliance Communications, the Financial Times reported. RCom, controlled by Anil Ambani, said on Thursday that it had completed the sale of telecom infrastructure worth Rs20bn ($285m) to Reliance Jio, led by Mr Ambani’s older brother Mukesh.

Russian potash producer Uralkali has questioned the process behind the sale of the Force India Formula One team after losing out in a battle between billionaire fathers of young racing drivers, Reuters reported. Uralkali co-owner Dmitry Mazepin is the father of 19-year-old Nikita, who races in the junior GP3 series and is a development driver for Force India. The team were put into administration at the end of July with a rescue deal led by Canadian Lawrence Stroll, the father of 19-year-old Williams F1 racer Lance, announced on Aug. 7.

Reliance Communications Ltd., the Indian mobile operator that defaulted on its dollar bonds last year, is up against the clock, Bloomberg News reported. The company controlled by Indian billionaire Anil Ambani is in the midst of restructuring the $300 million U.S. currency notes and plans to meet those bondholders on Aug. 24 to seek approval on extraordinary resolutions. Those talks come ahead of a Aug.

Lenders to Bhushan Power and Steel have zeroed in on JSW Steel as the most preferred bidder to take over the near-bankrupt company, the Financial Express reported. The Sajjan Jindal-led steelmaker has offered to pay Rs 19,350 crore to lenders of Bhushan Power against their total outstanding of Rs 47,000 crore and Rs 350 crore to the operational creditors in lieu of their admitted claims of Rs 700 crore.

The Supreme Court ruled that creditors can proceed against personal guarantors of a corporate debtor even while insolvency proceedings are on, Bloomberg Quint reported. The top court said the moratorium envisaged under Section 14 of the Insolvency and Bankruptcy Code will not apply to the personal guarantors. The provision places a moratorium on any suits or proceedings against the company during the insolvency resolution period.

Anil Ambani’s Reliance Communications is in discussions with TPG, Blackstone and other bidders over the sale of its remaining telecommunications assets in a deal that would mark the tycoon’s formal exit from India’s telecommunications sector, the Financial Times reported. According to people involved in the talks, the sale of RCom’s international submarine cable network, fixed-line telecoms network and data centres has attracted bids from I Squared Capital and a consortium comprising TPG, Blackstone and Varde.

Jet Airways India Ltd.’s lenders are reluctant to extend additional loans to the cash-strapped airline ahead of a key report by the company’s financial auditor, according to people with direct knowledge of the matter. India’s biggest full-service carrier, part-owned by Etihad Airways PJSC, had approached banks for emergency funding but the lenders prefer that the company raises money from a share sale before they would commit to any fresh credit, said one of the people, who asked not to be identified as the matter is confidential, Bloomberg News reported.

Jet Airways India Ltd., the Mumbai-based carrier trading at the lowest since June 2015 on deteriorating finances and rising default risk on its debt obligations, said it is servicing all its loans on time in spite of surging fuel prices, Bloomberg News reported. “We are regular in all our payment obligations to all our banks and statutory dues including provident fund obligations. Our account with all the banks as on date is standard,” the company said in an emailed statement on Saturday.