<b>Format of Initial Disclosure to be made by an entity identified as a Large Corporate.</b><br/><br/> <table border=''1px''><tr> <td><b>Sr. No.</b></td> <td><b>Particulars</b></td> <td><b>Details</b></td> ....
Awaiting price reaction for this filing.
Aban Offshore has informed stock exchanges that it does not qualify as a 'Large Corporate' under SEBI's August 2021 operational circular, because its credit rating is CARE D (the lowest rating, indicating default). The company reported outstanding borrowings of Rs. 281 crore, entirely from Non-Convertible Redeemable Preference Shares (NCRPS), of which Rs. 20 crore is unlisted and bank borrowings are not included. Crucially, the filing notes that these NCRPS have been overdue for redemption since 2014 — meaning the company has been in default for over a decade. CARE D ratings on both long-term bank facilities and NCRPS confirm deep financial stress.
Although framed as a routine compliance filing, this disclosure underlines serious financial distress: a default-grade credit rating and preference shares unpaid for more than 10 years. This is a strong negative signal for existing shareholders and reinforces concerns about the company's solvency and ability to honour obligations.