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Piramal Enterprises - Completion Of The DHFL Acquisition A Positive: Motilal Oswal

Piramal Enterprises - Completion Of The DHFL Acquisition A Positive: Motilal Oswal

Ajay Piramal, Chairman at Piramal Enterprises Ltd. reacts while addressing media at a conference in Mumbai, India. (Photographer Anirudh Saligrama/BloombergQuint)
Ajay Piramal, Chairman at Piramal Enterprises Ltd. reacts while addressing media at a conference in Mumbai, India. (Photographer Anirudh Saligrama/BloombergQuint)

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

Motilal Oswal Report

Piramal Enterprises Ltd. reported completion of Dewan Housing Finance Corporation Ltd.’s acquisition after it paid Rs 342.5 billion to the latter’s creditors.

This included an upfront cash component of Rs 147 billion and deferred component of Rs 195.5 billion paid via 10- year non-convertible debentures raised at 6.75% per annum principal on NCDs will be repaid at 5% p.a. for the first five years and 15% p.a. thereafter for the next five years. 

As per the resolution plan, there was an additional carve out consideration of Rs 38.1 billion from the available cash on DHFL’s balance sheet, leading to a total recovery of Rs 380.6 billion for its creditors and deposit holders.

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Motilal Oswal Piramal Enterprise Company Update.pdf

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