Future Retail

FRL says it has already made necessary disclosures on termination of leases, and has provided related updates

In April, Future Enterprises Ltd's two independent directors Anand Chndrasekaran and Malini Chopra had resigned

In the last two months, Future Retail Ltd, the flagship firm of Kishore Biyani-led Future Group, witnessed several top-level exits after the Rs 24,713-crore deal with Reliance Retail was called off

Amazon dragged Future Group to arbitration at SIAC in October 2020, arguing that FRL had violated their contract by entering into a deal for sale of its assets to Reliance Retail

Last week, Future Retail's Managing Director Rakesh Biyani stepped down, while officials including the company secretary of the debt-ridden firm tendered resignation

Amazon moves application, says Future Retail and banks are colluding to deny its rights.

In its letter, InGovern said many directors and key management personnel have resigned in the past year

CARE Ratings has moved ratings of the company's instruments and facilities to "issuer not cooperating" category.

The Future Group flagship firm is facing an insolvency petition by its lenders before the National Company Law Tribunal

Earlier this month, BoI had filed insolvency proceedings against Future Retail for non-payment of dues

The NCLT gave crisis-hit Future Retail Ltd (FRL) time till May 12 to submit its reply to the insolvency petition filed against the company by Bank of India.

About Rs 100 crore cash, cash equivalents already eroded

With the proposed deal with Reliance falling through, investors have been dumping the shares of Future Group since Monday even as the broader market made substantial gains

The tactic is not new for Reliance. In 2020, Reliance Industries acquired 37.7% stake in textile manufacturer Alok Industries Ltd for Rs 250 cr.

FRL's offshore bondholders -- a relatively smaller part of the creditor pool -- were promised 100% payment, while local lenders were asked to take a haircut

However, Future Group's flagship firm Future Retail Ltd (FRL), which has nearly Rs 18,000 crore debt, is bound to face the corporate insolvency resolution process before NCLT

Future Supply Chain Solutions (down 20 per cent at Rs 37.30) and Future Lifestyle Fashions (down 20 per cent at Rs 29.40) also hit their respective all-time lows in intra-day trade on Monday.

Secured lenders get top priority in any potential recovery; Biyani stake fell across group companies as lenders seized pledged shares

Banks have already made provisions for loans give to entities like Future Retail and Future Enterprises

A majority of the secured creditors voted against the resolution.