Banks have sought a relaxation of stringent conditions attached to the Corporate Debt Restructuring norms. Currently, not more than 10 percent of the debt can be converted into equity under the scheme.
"The board of directors of the company, on January 13, will consider and approve to issue equity shares of the company, as per CDR scheme of the company, in accordance with SEBI regulations," the company said in its filing the exchange.
Madhav Nadkarni, CFO, Unity Infraprojects says the interest rate will now come down by 2 percent, as CDR interest rate is 12 percent versus actual rate of 13.75-14 percent.
Full year estimates stand good because the company aims to grow by around 5 percent on the back of Q3 and Q4. In the first quarter, Gammon India has degrown by around 5 percent