Description
DLF Cyber City Developers Ltd announces changes to security structure for Non-Convertible Debentures (ISIN: INE186K07080), removing exclusive charge on Debt Service Reserve Account.
Summary
DLF Cyber City Developers Ltd has announced changes to the security structure for its Non-Convertible Debentures (ISIN: INE186K07080) as part of debt restructuring. The main change involves removing the first exclusive charge on Debt Service Reserve Account/Interest Service Reserve Account from the security package.
Key Points
- Security restructuring for Non-Convertible Debentures with ISIN: INE186K07080
- Maintains first pari-passu charge by mortgage on DLF Epitome Buildings 5A, B & C and underlying land
- Continues first pari-passu charge by hypothecation on present and future receivables and moveable fixed assets
- Retains first pari-passu charge on Escrow Account/Designated account for project cash flows
- Removes first exclusive charge on Debt Service Reserve Account/Interest Service Reserve Account
Regulatory Changes
The debt restructuring involves modification of security arrangements provided to the Debenture Trustee, with simplified security structure removing one layer of exclusive charge protection.
Compliance Requirements
- Debenture Trustee acknowledgment of revised security structure
- Updated documentation reflecting changed security arrangements
- Compliance with debt restructuring regulations
Important Dates
Circular dated: August 14, 2025
Impact Assessment
The removal of exclusive charge on Debt Service Reserve Account may slightly reduce security protection for debenture holders, though core mortgage and hypothecation charges on primary assets remain intact. This change is part of debt restructuring arrangement and may provide operational flexibility to the company while maintaining essential asset-backed security.
Impact Justification
Security structure changes for debt instruments affect creditor protection and risk assessment for debenture holders