Sahara group is believed to be working on an over $1 billion debt refinancing deal with two American hedge funds for raising the money to secure release of its jailed chief Subrata Roy, a newspaper report said on Sunday.
The two funds would become financiers for over $1 billion (Rs 6,000 crore) of debt against the group’s three overseas hotels, including the iconic Grosvenor House in London and two hotels in New York (the Plaza and Dream Downtown), the Sunday Times reported.
The newspaper report said that the deal could have been struck last week itself after months of talks, but a Sahara group spokesperson told PTI in reply to queries in this regard that “all we can say in this matter is that the news is absolutely wrong”.
“You can well understand our inability to comment on any issue pertaining to the deal of properties because of the operation of a non-disclosure agreement (NDA). Furthermore, you are definitely aware of the fact that how strictly NDA is followed and honoured, particularly in the overseas market,” the spokesperson said in an emailed reply without elaborating further.
Roy was jailed in March amid a long-running dispute of Sahara group with the capital markets regulator Securities and Exchange Board of India over repayment of billions of dollars to investors who were sold certain bonds.
Sahara, however, has maintained that it has repaid over 93 per cent of the investors.