Anil Ambani-led Reliance Group has reached a 'standstill agreement' with more than 90 per cent of its lenders under which they will not sell any of the shares pledged by promoters till September.
Under the pact, the group will pay the principal and interest amounts to the lenders as per the scheduled due dates, while it has also appointed investment bankers for part placement of the group's direct 30 per cent stake in Reliance Power to institutional investors, officials at the lenders and Reliance Group said.
The investment bankers will begin roadshows for the share placement soon, they added.
Some of the key lenders include Templeton MF, DHFL Pramerica MF, Indiabulls MF, IndusInd Bank and Yes Bank.
When contacted, a Reliance Group spokesperson said, "We are grateful to our lenders for believing in the intrinsic and fundamental value of our companies, and granting their in principle approval to standstill arrangements."
Officials said the agreement has been reached with more than 90 per cent lenders of Reliance Group at the promoter group level.
Under this in-principle standstill understanding, these lenders will not enforce security and will not sell any of the promoters' pledged shares till September 30, 2019 on account of lower collateral cover or reduced margin due to the recent unprecedented fall in share prices.
Reliance Group will pay the principal and interest to the lenders as per the scheduled due dates specified in the loan agreements.
Regarding the proposed placement of shares, the bankers said the value of the promoter stake in Reliance Power, before the unprecedented fall in share prices, was more than Rs 2,500 crore, and would clear more than 65 per cent of total promoter borrowings.