Dhir & Dhir Associates Advises India Infrastructure Finance Company Ltd On An INR 1000 Crores Takeout Finance Scheme
LIVELAW NEWS NETWORK
29 Sept 2023 12:21 PM IST
Dhir & Dhir Associates advised India Infrastructure Finance Company Limited (IIFCL), on the sanction and disbursement of takeout facility aggregating to INR. 1000.00 Crores under its Takeout Finance Scheme to MB Power (Madhya Pradesh) Limited, a group company of Hindustan Power. With the disbursement of the said facility, State Bank of India and Axis Bank were substituted by IIFCL facility.
Dhir & Dhir Associates acted as Lenders Legal counsel to IIFCL while the existing consortium lenders of the Company had an existing lenders’ legal counsel, which made the transaction unique and distinctive from other takeout or refinancing transactions.
In its role as IIFCL’s legal counsel, the scope of work was not limited to drafting of financing and security documents for securing the takeout facility but also involved in discussions and negotiations with the existing consortium lenders and their counsel. During the exercise, all previous facilities availed by the Company prior to the takeout facility were also a part of the IIFCL transaction documents.
The firm provided its legal opinion for over more than 400 litigations pending against or by the company, conducted title search over the project land admeasuring 2034.13 Acres (including leased and private land) and provided its opinion on the title of the Company.
Given the sensitive and critical nature of the transaction, numerous complex issues came up with respect to the structure, security and concerns of the existing consortium lenders, which, after much deliberation, were resolved well within the timeline to the satisfaction of all Parties.
“We always address challenging transactions with expertise and put our best efforts for the successful closure of matters with a solution oriented approach. The team is well equipped to tackle the issues involved in such transactions with a deep understanding of the concerns, the stakeholders may have. The said transaction was not only limited to guiding and advising IIFCL but also extending our support to other existing lenders as well, in order to protect the interest of each party involved” said Guranpreet Singh Sarna, Partner, Dhir & Dhir Associates.
The core team at Dhir & Dhir Associates, comprised Sachin Gupta (Senior Partner), Guranpreet Singh Sarna (Partner), Shikha Singh (Principal Associate), Shruti Choudhary (Senior Associate) and Arpana (Associate).
