Shriram EPC is the engineering arm of diversified Shriram group.
In addition, shares would be issued to them in lieu of "sacrificing" around Rs 185 crore under the corporate debt restructuring (CDR) plan.
In a regulatory filing, Shriram EPC said its board has approved the proposals during a meeting held today.
"...Board of directors of the company...Has discussed and approved conversion of the funded interest term loan to the maximum of Rs 313 crore of the CDR lenders into equity shares of the company," Shriram EPC said.
The shares of the company closed at at Rs 39.60 a piece on BSE, up 2.59 per cent from the previous close.