Subject category:
Finance, Accounting and Control
Originally published in:
2019
Length: 10 pages
Data source: Published sources
Abstract
Today, IL&FS (Infrastructure leasing and Financial Services), a non-banking financial company is dealing with a huge burden of outstanding debt worth INR91,000 crore. Of the total debt, it owes about INR57,000 to the public-sector banks. In layman terms, it has run short of cash. It has taken a burn from the interest rates that have been rising to multi year highs for short term borrowings. Also amid the recent drying up of new infrastructure projects in India, a few of IL&FS's projects stalled because of cost overruns, and delays in land acquisition and other approvals. To deal with the current situation, which felt unprecedented to the former Board, a new Board was constituted led by Mr Uday Kotak, Chairman, Mr Vineet Nayyar, Vice Chairman and Managing Director, Mr GC Chaturvedi, Mr GN Bajpai, Mr Nand Kishore, Dr Malini Shankar and Mr CS Rajan serving as Directors on the Board. The case deals with the fall of IL&FS and it repercussions and what can be done to turn around the situation.
Geographical setting
Region:
Asia
Country:
India
Featured company
Infrastructure Leasing & Financial Services
Type:
Partnership
Subject category:
Finance, Accounting and Control
Originally published in:
2019
Length: 5 pages
Data source: Published sources
About
Abstract
Today, IL&FS (Infrastructure leasing and Financial Services), a non-banking financial company is dealing with a huge burden of outstanding debt worth INR91,000 crore. Of the total debt, it owes about INR57,000 to the public-sector banks. In layman terms, it has run short of cash. It has taken a burn from the interest rates that have been rising to multi year highs for short term borrowings. Also amid the recent drying up of new infrastructure projects in India, a few of IL&FS's projects stalled because of cost overruns, and delays in land acquisition and other approvals. To deal with the current situation, which felt unprecedented to the former Board, a new Board was constituted led by Mr Uday Kotak, Chairman, Mr Vineet Nayyar, Vice Chairman and Managing Director, Mr GC Chaturvedi, Mr GN Bajpai, Mr Nand Kishore, Dr Malini Shankar and Mr CS Rajan serving as Directors on the Board. The case deals with the fall of IL&FS and it repercussions and what can be done to turn around the situation.
Settings
Geographical setting
Region:
Asia
Country:
India
Featured company
Infrastructure Leasing & Financial Services
Type:
Partnership
Related
Subject category:
Finance, Accounting and Control
Originally published in:
2019
Length: 5 pages
Data source: Published sources