Advertisement
Private equity has played a significant role in shaping Indi...
In today’s real estate landscape, fitness is often treated...
In this episode of Prop Personalities, we sit down with Hars...
Luxury real estate is one of the most talked-about segments ...
Welcome to Prop Personalities by Prop News Time - a podcast ...
Goswami Infratech, part of the Shapoorji Pallonji Group, has likely secured investor support to extend repayment of its high-yield debt by two months. The company had earlier raised INR 143 billion through bonds from global private credit funds and now has an outstanding of INR 83.43 billion. The extension request comes amid delays in its planned USD 2.8–3.1 billion fundraising due to rising hedging costs. Most investors are said to be aligned with the proposal without seeking additional returns, indicating continued confidence in the group’s repayment strategy despite near-term liquidity challenges.
Goswami Infratech, the real estate and civil engineering arm of the Shapoorji Pallonji Group, is likely to receive investor approval for a two-month extension on its debt repayment obligations, according to people familiar with the matter. The company had approached lenders to extend the maturity of its bonds to June 30 from the earlier April-end deadline. Advertisement
The firm had raised INR 143 billion (USD 1.54 billion) in mid-2023 through high-yield bond issuances to global private credit investors such as Ares Management, Cerberus Capital Management, Davidson Kempner Capital Management and Varde Partners. These bonds were initially priced at a yield of 18.75 percent, which was later increased by 200 basis points to attract investors amid tightening liquidity conditions.
Following partial repayments to some lenders, the outstanding debt currently stands at around INR 83.43 billion, as per data from Care Ratings. Sources indicated that the company has not offered any additional incentives over the existing yield for the proposed extension.
Investor sentiment appears largely supportive, with most lenders expected to approve the extension without seeking extra returns. This indicates a level of comfort with the company’s repayment ability and ongoing financial restructuring efforts.
The request for extension comes at a time when the group’s broader fundraising plans have faced delays. Goswami Infratech had been working to raise between USD 2.8 billion and USD 3.1 billion over recent months. However, a sharp increase in rupee hedging costs has slowed progress on this front, making offshore borrowing less attractive.
As part of its fundraising strategy, the company was planning to raise USD 500 million to USD 1 billion through dollar-denominated bonds, with the remaining amount expected to come from rupee-denominated three-year zero-coupon bonds. Deutsche Bank has been acting as the sole arranger for the zero-coupon bond issuance and has held multiple investor meetings in recent weeks to advance the process.
The Shapoorji Pallonji Group has previously relied on structured debt and asset monetisation to manage its liabilities, especially after its high-profile stake financing linked to Tata Sons. The current extension request reflects continued efforts to manage cash flows while aligning fundraising timelines with market conditions.
Source Reuters
5th Jun, 2025
25th May, 2023
11th May, 2023
27th Apr, 2023
Advertisement
Facebook
Whatsapp
