Over the last 160 years, the Shapoorji Pallonji Group (SP Group) has contributed to the construction, infrastructure and real estate development of India.
While Power Finance Corporation’s (PFC) role as a premier lender in the Energy sector is well acknowledged, it has also taken an active role in financing the infrastructure sector. As of March 2024, PFC has sanctioned nearly Rs 82,000 Cr to the Infrastructure sector.
Venkatesh Gopalakrishnan Director – Group Promoters’ Office Managing Director – SP Real Estate, said, “We are fortunate to work with PFC over the last 9 months to craft a unique proposal, that has a twin security structure leveraging the strength of the SP Group’s large real estate franchise, as well as a portion of the Tata Sons shares owned by the Mistry family. This provides a security value in excess of 6 times of the loan value. The cash flows from the Real Estate franchise will ensure a full repayment of the loan over the tenor. The entire proposal has been validated by reputed third party consultants. The SP Group received a formal sanction letter post approval of the PFC Board on 14 June 2024.”
The facilities raised by the SP Group from foreign lenders have also helped in the creation of infrastructure assets. Recent misleading media articles, terming the refinancing of such loans which are being done well ahead of their scheduled maturity, in the routine course of business, as “a bailout from default” is not only grossly inappropriate but also factually incorrect.”
“The SP Group takes pride in following the highest levels of Corporate Governance. We have always respected and have fully adhered to the process outlined by our lenders including PFC,” he added.
