This almost-defaulter saves itself by selling its loans to a foreign investor
- The troubled Deewan Housing Finance sold ₹20 billion from its loan portfolio to foreign investors, according to reports.
DHFLhas been in the news for its debt crisis.
- The company’s rating had also been downgraded by rating agencies like CRISIL and ICRA.
DHFL has used this money to pay off its debt. According to reports, the transaction was monitored by Hong Kong-based SC Lowy, says a Mint report.
In the beginning of June 2019, DHFL delayed payments on its loan for over ₹8.5 billion and had said that it would clear dues within 7 days. Earlier this month, the company had paid ₹3.5 billion to investors.
After IL&FS went belly up last year, there has been panic in the system and questions were raised on the performance of non-banking financial companies as well as housing finance companies.
All eyes were on DHFL after the incident, who was downgraded by rating agencies CRISIL and ICRA. Having cleared an interest to the tune of ₹9.61 billion, DHFL was set to seek a rating upgrade, according to reports.
To save the company from its crisis, Private Equity firm AION Capital is reportedly in talks to invest in the company to become its largest stakeholder. The company as much as $1 billion from the stake sale.