Coffee Day Enterprises Ltd. has finalised an agreement to settle its outstanding debt of Rs 205 crore with two debenture holders.
The payment will be made in three installments and includes Rs 55 crore obtained from the sale of 12.41% of pledged and invoked shares of Coffee Day Global Ltd., which were sold by the lender to a third party, according to an exchange filing on Monday.
This settlement reflects the company's dedication to reducing debt for itself and its subsidiaries, benefiting all stakeholders. The company remains focused on meeting its responsibilities and creating lasting value for everyone involved.
Coffee Day Enterprises Ltd., owner of Cafe Coffee Day, is working towards settling its dispute with creditor IDBI Trusteeship Services amid an ongoing case at the National Company Law Appellate Tribunal.
On Aug. 14, the NCLAT temporarily stopped insolvency proceedings against CDEL, which was initiated by the National Company Law Tribunal on a plea filed by IDBI Trusteeship Services Ltd.
Later, IDBITSL challenged this decision in the Supreme Court. On Jan. 31, the Supreme Court instructed the Chennai bench of the NCLAT to resolve CDEL's appeal by Feb. 21, 2025.
Shares of Coffee Day Enterprises closed 4.97% lower at Rs 23.33 apiece on the National Stock Exchange, compared to a 0.5% rise in the benchmark Nifty. The stock has fallen 55.13% in the last 12 months.
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