To seek a solution for the Rs 90,000 crore debt that is owed to the lenders of troubled non-banking finance company Dewan Housing Finance Corporation Ltd. are scheduled to meet on Monday.
The consortium of 30 lenders led by state-run Union Bank of India, may also consider the conversion of debt into equity that can make them the largest shareholder in the mortgage lender, sources said over the weekend.
DHFL’s promoter group, the Wadhawan family which owns over 39 percent of the firm, has been looking at various ways to overcome the stress which first came to light late last year following the Infrastructure Leasing & Financial Services crisis.
The RBI blames the crisis on asset-liability mismatches at firms like DHFL, which typically borrowed the short term for creating long term assets.
The banking regulator has vowed multiple times to do everything possible to ensure systemic financial stability.
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