Religare Enterprises Limited (REL) announced that its wholly-owned subsidiary, Religare Finvest Limited (RFL), has successfully cleared all its debts with external lenders, effectively resolving all legacy issues. The debt resolution initiative has resulted in clearing the default status of RFL and has made it external debt-free. It is a significant milestone in its revival journey towards financial stability and operational efficiency. RFL is now ready for fresh lending business.
RFL has successfully repaid over Rs 9,000 crores to the country’s banking system through collections and with the support of REL. Through the One-Time Settlement (OTS), RFL completed the debt repayment of Rs 2178 crore to 16 external lenders on March 8, 2023.
RFL has completed its external debt settlement, addressing legacy issues from misconduct and funds theft by former REL promoters. The company is now ready to resume operations with renewed vigor and strategic clarity, aiming to establish a niche in the Micro and Small Enterprise lending segment, subject to the removal of RBI’s Capital CAP.
