Future Retail Lenders Allow Company to Make Interest Payment of Dollar Bonds

Troubled Indian retailer Future Retail’s lenders allowed the company to make interest payments of $14mn on its 5.6% dollar bond due 2025. In an exchange filing with the BSE on February 18, it noted that the coupon has been paid. Future Retail approached banks to allow interest payment post which its cash flows were reviewed by banks and given the nod to go ahead with the payment.  It is making interest payments to domestic lenders as well. A bank official said that the approval was given keeping in mind fund flows and the need to avoid further complications for efforts at resolution. Future had initially missed its dollar bond coupon on January 22.

Its 5.6% 2025s were flat at 58.8 cents on the dollar.

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