New Delhi: Debt-ridden mortgage lender DHFL on Saturday floated a draft resolution plan, proposing to convert debt into equity, subject to the approval of investors and bankers. These include selling stakes in group entities, including in the flagship, to the extent of giving up half of their stake. A price of ₹54 per share was assumed for conversion of debt into equity by lenders to acquire 51% in the company, it said. This proposed resolution plan, including all projections, cash flows and computation of liabilities, was based on reports received from various consultants appointed by lenders and the company, it said. The cash flow projections factored for the proposed resolution plan do not take into account any tax impact that might occur, in the hands of borrowers, it said.

Source: Mint September 28, 2019 15:11 UTC