Talwalkars Group Firms Default On NCD Payments, Term Loans Worth Rs 95.91 Crore
Talwalkars Group Firms Default Again
Talwalkars Healthclubs Ltd. and Talwalkars Better Value Fitness Ltd. defaulted on payments of non-convertible debentures and term loans worth Rs 95.91 crore.
This comes two months after both the listed companies of the Talwalkars Group—which runs gymnasiums, spas and centres for yoga, aerobics and health counseling—defaulted on interest payments due on July 31.
Talwalkars Healthclubs defaulted on payment of interest and principal amount of two non-convertible debentures and a term loan worth Rs 63.54 crore. The two NCDs were issued to The Lakshmi Vilas Bank Ltd. and the term loan had an exposure to Axis Bank Ltd., The South Indian Bank Ltd., Hero Fincorp, Indian Bank and Andhra Bank.
The company, according to its exchange filing, has borrowed Rs 463.15 crore from banks and financial institutions.
Talwalkars Better Value Fitness defaulted on payment of interest and principal amount on a non-convertible debenture and a term loan aggregating to Rs 32.37 crore. The NCD was issued to Lakshmi Vilas Bank and the term loan had an exposure to Axis Bank, South Indian Bank and Andhra Bank. The company’s borrowings from banks and financial institutions stood at Rs 203.86 crore, according to its exchange filing.
In August, M.K. Dandeker & Co., the auditor of the company’s wellness business—Talwalkars Better Value Fitness—had quit citing unsatisfactory responses for their queries from the management.