Electrotherm Reports Default on Interest and Repayment of Loans from Financial Institutions
Electrotherm (India) Limited has reported a default concerning loans taken from financial institutions. The disclosure details the status of its term and working capital loan obligations as of June 30, 2026.The company identified the default against Invent Assets Securitisation & Reconstruction Private Limited, which is the assignee of debts originating from Allahabad Bank (now Indian Bank) and Punjab National Bank. The default event was noted on June 30, 2026.
According to the details provided by Electrotherm, the current outstanding amounts related to this specific obligation are detailed as follows:
| Particulars | Detail |
|---|---|
| Nature of Obligation | Term Loan & Working Capital Loan |
| Date of Default | 30-06-2026 |
| Current Principal Default Amount | Rs. 40.00 Crores |
| Current Interest Default Amount | Rs. 6.46 Crore |
The details provided for this obligation indicate that the original principal amount was Rs. 180.00 Crores, secured and carrying an interest rate of 11% p.a., with a tenure of 11 years.
As of June 30, 2026, Electrotherm's total outstanding borrowings from banks and financial institutions stood at Rs. 986.20 Crore. The company reported that its total financial indebtedness, encompassing both short-term and long-term debt as of the same date, amounted to Rs. 1,000.69 Crore.
The disclosure notes that the figures represent a provisional basis based on the Company’s books and are subject to confirmation from the lender. The report further clarifies that the outstanding borrowings amount does not include interest related to Rare Asset Reconstruction Limited (the assignee of Indian Overseas Bank), which has classified certain loan accounts as Non-Performing Assets (NPA).
The company also noted that it had entered into a settlement with the Asset Reconstruction Company (ARC) for payment of outstanding loans and debts under specific terms and conditions.
ELECTHERM Stock Price Movement
Electrotherm (India) Limited shares gained 1.02% today, finishing at ₹1019 after posting a gain of ₹10.30. The stock saw activity in post-market trading, which included a volume of 5,002 shares.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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