Coffee Day Enterprises (CDEL) on March 27 said it has repaid Rs 1,644 crore to 13 lenders after concluding a deal with Blackstone Group to sell its technology business park. The flagship of the conglomerate founded by the late VG Siddhartha said in a statement that it had received Rs 2,000 crore as part of the first tranche from American private equity giant Blackstone.
The latter had acquired Coffee Day Group’s Global Village Technology Park, spread over 3.3 million sq ft in the outskirts of Bengaluru for Rs 2,700 crore on September 6, 2019. The remaining cash is expected in the next six months.
Terming it as ‘largest M&A deal closure in a frozen market’, CDEL said it paid the entire principal and interest due to all the lenders despite economic activity and credit markets grinding to halt following the novel coronavirus, or COVID-19, crisis.
Axis Bank, Standard Chartered, Piramal Enterprises, Yes Bank, RBL Bank, Bajaj Finance and Indiabulls are among the lenders who have received their entire principal with interest.
As per the break up provided by the company, Axis Bank received Rs 497 crore, followed by Standard Chartered Bank (Rs 413 crore), PHL Finvest Pvt an NBFC subsidiary of Piramal Enterprises (Rs 199 crore), Yes Bank (Rs 108 crore), RBL Bank (Rs 81 crore) STCI (Rs 81 crore), Bajaj Finance (Rs 72 crore), Kotak Mahindra Investments (Rs 60 crore), Indiabulls (Rs 38 crore) and AK Capital (Rs 38 crore), Aditya Birla Finance (Rs 22 crore), IFCI (Rs 24 crore), and Shine Star (Rs 11 crore).
CDEL said its debt would now come down to Rs 3,100 crore from Rs 7,200 crore at the start of FY20. The company, which runs Cafe Coffee Day through a subsidiary, has been paring debt through sale of non-core assets. In May last year, it sold its entire stake in software firm Mindtree to Larsen & Toubro (L&T) for Rs 3,200 crore and used part of the procees to pay off its debts.