According to a filing with the stock exchange, Coffee Day Enterprises (CDEL) has disclosed a total financial default of INR 436.06 crore for the quarter that concluded on March 31, 2023. The coffee cafe chain’s overall financial debt, consisting of short-term and long-term obligations, is INR 461.06 crore.
CDEL has reported that it has an overdue amount of INR 220.65 crore for loans or revolving facilities, such as cash credit from banks or financial institutions. It has also been reported that CDEL missed interest payments totaling INR 5.78 crore and INR 189.87 crore.
CDEL has outstanding unlisted debt securities, including NCDs and NCRPS, with a total value of INR 240.41 crore. As per CDEL, the current default amount is INR 200 crore plus an interest of INR 40.41 crore. Following the demise of its founder and chairman V G Siddhartha in July 2019, the company has considerably reduced its debt-resolution efforts by utilizing its assets.
In March 2020, CDEL announced that it would repay INR 1,644 crore to 13 lenders after striking a deal with Blackstone Group to sell its technology business park. Earlier this year, the Securities and Exchange Board of India (SEBI) instructed the board of CDEL to take all necessary actions to recover the full amount misappropriated from Mysore Amalgamated Coffee Estates Ltd, including any interest that may apply. Mysore Amalgamated Coffee Estates Limited (MACEL) is an organization associated with the promoteINR.
CDEL has been fined INR 26 crore by SEBI for its failure to prevent the theft of INR 3,535 crore from its subsidiaries. In its recent announcement, CDEL mentioned that it has hired a legal team to recover the funds. As per a SEBI ruling dated January 24, 2023, CDEL has appointed Crest Law Firm to take immediate action and retrieve the unpaid debts owed by Mysore Amalgamated Coffee Estates Limited to seven CDEL subsidiaries.
