- 1st player in the country to manufacture engineered stone
- Company’s project had faced various cost and time over runs in the past due to reasons beyond management control
- Product was targeted primarily for the export market-global slowdown (Europe / UK / USA) had severely impacted the sales of the company
- Account had been restructured in the past by few lenders
- Challenge in convincing the lenders for continued support to a new untested product in the light of past delays and global downturn
- Threat of the Account becoming sub-standard, hindering the resolution process.
- Time of 1-1.5 yrs was required to tap the market with a new product.
- Repeat Restructuring with downgrading of the Account
- Being NPV neutral scheme
Brescon Value Add
- Ensured the Account being sub-standard for the minimum period by structural alignment with repayments over the specified period.
- Reinstatement of WC limits despite operations at low capacities allowing the company to build core working capital through ramped up revenues.
- Initial breathing period from servicing the debt with interest and principal holiday for 18 months as well as enhanced repayment tenure of 8-9 years
- Convinced lenders for a non-NPV neutral package with right of recompense.
- Impressive improvement in Company’s performance within two years of restructuring.
- Successful exit from CDR mechanism within three years with payment of recompense amount to the lenders