Bangalore: SBICAP Trustee Company has invoked a pledge of 115.5 million shares of Kingfisher Airlines. These had been pledged with the financier by airline chairman Vijay Mallya and his various group companies. The shares, amounting to a 14.29 per cent stake in the defunct airline that remains grounded since October 2012, have a market value of about Rs 45 crore.
As promoters of the company, Mallya and his affiliates have a 32.12 per cent stake in Kingfisher Airlines but 21.60 per cent of that is pledged. UB Holdings, the principal holding company of the Mallya-led UB Group, has a 21.36 per cent stake as the largest promoter but has pledged 99 per cent of that stake — presumably from which 14.29 per cent was pledged with SBICAP. UB Holdings has made large borrowings and also provided corporate guarantees for loans to Kingfisher, under debt of Rs 7,400 crore.
Lenders, including State Bank of India (SBI), have begun finding ways to monetise the collateral to recover their dues, by selling pledged shares held in various UB Group companies.
22/01/14 Business Standard
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As promoters of the company, Mallya and his affiliates have a 32.12 per cent stake in Kingfisher Airlines but 21.60 per cent of that is pledged. UB Holdings, the principal holding company of the Mallya-led UB Group, has a 21.36 per cent stake as the largest promoter but has pledged 99 per cent of that stake — presumably from which 14.29 per cent was pledged with SBICAP. UB Holdings has made large borrowings and also provided corporate guarantees for loans to Kingfisher, under debt of Rs 7,400 crore.
Lenders, including State Bank of India (SBI), have begun finding ways to monetise the collateral to recover their dues, by selling pledged shares held in various UB Group companies.
22/01/14 Business Standard
