Educomp Solutions' lenders might go for haircut

Educomp Solutions' insolvency may see lenders taking deep haircuts, just like in Synergies Dooray Automotive. A company that offers technology solutions to schools, Educomp walked the insolvency route to pay up lenders.

Sources handling the insolvency case stated that lenders might have to take more than 50 per cent haircut as dues amounting to almost Rs 3,000 crore contrasted annual revenue of Rs 150-200 crore seen over the past few years. For instance, in 2015-16, the company clocked Rs 223 crore of revenue that resulted in a net loss of Rs 343.34 crore. As such, serviceability of the debt remained