Core Education & Technologies has said that it has received approval for its CDR (corporate debt restructuring) proposal from the CDR cell for restructuring of its debt, with State Bank of India as a monitoring institution.
The company said the approval includes reduction of interest rates on term loans and working capital, besides conversion of interest for two years from April 2013 to April 2015 to fixed interest term loan.
A moratorium of 24 months from the cut-off date – May I, 2013 to 30 April 2015 - has been granted and repayment for term loans and bill discounting facilities extended till March 2018.
In a filing to the stock exchange, the company said it would sell its non-core assets and divest overseas subsidiaries to repay part of the debt, besides infusing additional equity through a joint venture partner.