Disclosure of default on payment of interest / repayment of principal amount on loans from Banks / Financial Institutions
ELECTHERM · price
▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
Electrotherm (India) Limited has disclosed a default on loans from Banks/Financial Institutions. The company defaulted on Rs. 24 crore of principal and Rs. 4.68 crore of interest (total Rs. 28.68 crore) as of 31st March 2026. The lenders include Invent Assets Securitisation & Reconstruction Private Limited, which is an assignee of debts from Allahabad Bank (now Indian Bank) and Punjab National Bank. The company had a settlement agreement with Invent ARC for Rs. 180 crore principal over 11 years at 11% p.a. Total outstanding borrowings stand at Rs. 985.72 crore, while total financial indebtedness is Rs. 1,000.21 crore as of March 2026. The company noted that one lender (Rare Asset Reconstruction Limited) has classified the loan account as Non-Performing Asset (NPA).
This is a serious credit event indicating significant financial stress. The NPA classification and default disclosure will likely result in rating downgrades and negative sentiment for shareholders, with potential legal action from lenders.