Home / Companies / News / HCC's shares jump nearly 20% on completing debt resolution plan

HCC's shares jump nearly 20% on completing debt resolution plan

Co to hive off part of debt, receivables to a SPV; to hold 49% stake in SPV

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HCC has furnished corporate guarantee in favour of SPV’s lenders for the debt novated by it to the SPV as well as pledged the shares held by it in SPV to secure the NCDs

Dev Chatterjee Mumbai

3 min read Last Updated : Sep 27 2022 | 10:59 PM IST

Shares of construction firm Hindustan Construction Company (HCC) went up by 20 per cent on Tuesday after the company hived off part of its debt and arbitration claims to a special purpose vehicle in which it will hold 49 per cent stake.

The company assigned Rs 2,854.4 crore of bank debt, along with beneficial economic interest in arbitration awards and claims of Rs 6,508 crore to Prolific Resolution Private, a wholly owned subsidiary of the company.

Reacting to the news, HCC shares closed at Rs 14.66 a share, up 20 per cent. According to the plan, the SPV will include

Topics : Hindustan Construction Company Construction sector Real Estate debt resolution shares HCC stock HCC construction firms debts Jadeja debt investor

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