“Promoters may have to sell their entire stake to repay debt,” he added. “Even if left with single-digit holding, I will be willing to work with the company if the due process allows it.”
Goenka added that the promoters are looking to resolve the issue of debt repayment in three months. “We are looking at all problems. Whatever stake promoters are left with, I am committed to the company. If the process allows, I will continue to run the company. We are looking to resolve this in three months.”
Subhash Chnadra owned Essel Group had an agreement with lenders to repay the entire debt by 30th September. However, the Essel Group failed to pay back the entire debt by the said deadline leading certain mutual funds to sell the pledged shares. This brought down the promoter holding in the company even further.
As reported, Essel Group had successfully completed the first tranche sale of the first tranche of ZEEL’s stake to Invesco Oppenheimer Developing Markets Fund (The Fund). The first tranche of the transaction comprising the sale of 8.7% stake in ZEEL has been successfully concluded. The group had said that it is confident of completing the balance sale of 2.3% stake over the next few days.