IL&FS group initiates Rs 5,000 crore interim payout to eligible creditors

Infrastructure Leasing & Financial Services (IL&FS) group companies have initiated an interim distribution of Rs 5,000 crore, including Rs 3,500 crore of Infrastructure Investment Trust (InvIT) units and Rs 1,500 crore in cash, to eligible creditors as part of its ongoing resolution efforts.

The interim distribution is largely being initiated by three holding companies – IL&FS Ltd, IL&FS Financial Services Ltd (IFIN), and IL&FS Transportation Networks Ltd (ITNL) – that collectively hold the majority of the group’s debt and nests large creditors and public funds.

Post this payout, the aggregate debt discharged across IL&FS Group companies will stand at approximately Rs 43,000 crore – accounting for over 70 per cent of the estimated total debt resolution target pegged at Rs 61,000 crore – and includes the aggregate interim distribution payouts.