Lanco seeks restructuring of Rs. 1,000 cr loan of AP power plants.

Cash-starved Lanco Group has approached lenders to reschedule Rs. 1,000 crore debt of two of its gas-based power plants in Andhra Pradesh till January 2018.

The infra major has also sought similar reprieve from lenders for some of its power plants under Reserve Bank of India's 5/25 formula, a senior executive of Lanco said.

T Adibabu, Chief Operating Officer of Lanco Infratech said the consortium of lenders led by Axis Bank is likely to give nod for the restructuring of loan for the two plants in a few days.

Lanco Kondapalli Power Limited ( LKPL) operates three gas-based power plants in Andhra Pradesh.

Two plants -- Unit-II and III -- are not able to operate due to lack of gas supplies from KG-Basin. Unit-III is yet to declare Commercial Operation Date.

'Between these two units the debt is around Rs. 2400 crore for a capacity of 1100 MW. We are seeking restructuring of Rs 1,000 crore debt from the lenders. The lead lender Axis bank is actively considering the proposal. They may approve the proposal shortly,' Adibabu told PTI.


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