Infrastructure India in refinancing discussions. In May Infrastructure India plc provided the following update:
On 6 April 2017, Infrastructure India announced that the maturity date of the fully drawn US$17 million working capital loan facility provided to the company by GGIC, Ltd in April 2013 had been extended to 9 June 2017. The company does not currently have sufficient cash resources to repay the Loan and the extension enabled Infrastructure India to continue its discussions with GGIC in relation to refinancing the Loan and with respect to the company’s other capital needs.
The company confirms that progress is being made in its discussions with GGIC in relation to refinancing the loan as well as the company’s other capital needs and a further update will be provided, as appropriate, in due course.
Update 27 November 2017
Infrastructure India has agreed a further extension of, and increase in, the US$8.0 million unsecured bridging loan facility and an extension of an existing US$21.5 million working capital loan. facility. The company continues to be in advanced negotiations with a third party in relation to a potential financing. Whilst negotiations have taken longer than had been anticipated, these discussions continue to progress.
Bridging loan
A further US$10.0 million has been made available under the Bridging Loan and the maturity date of the Bridging Loan has been extended from on the earlier of: (i) on demand by Cedar Valley; and (ii) 31 December 2017 to the earlier of (i) fifteen days after the completion of the potential financing currently under negotiations; and (ii) 29 June 2018. The additional US$10.0 million has been immediately drawn down. The company has paid Cedar Valley a fee of 1.0% of the additional funds in connection with the Bridging Loan Extension and the interest rate on the Bridging Loan has increased from 8.0% per annum to 12.0% per annum. The interest payment which would have been due under the Bridging Loan on 31 December 2017, together with the additional interest accrued from then until maturity of the Bridging Loan has been deferred until repayment of the Bridging Loan in accordance with the revised maturity.
Working capital loan
The maturity of the Working Capital Loan has been extended from 31 December 2017 to 15 July 2018. The Working Capital Loan, which carries an interest rate of 7.5% per annum (payable in cash on maturity), is fully drawn down.
IIP : Infrastructure India in refinancing discussions