ARSS Infra has entered into an agreement with its lenders to restructure its debt. At the end of 2011-12 (Apr-Mar), the ARSS had 249 cr of interest and principal amount due to its lenders non-payment of which resulted in the because of which the company was declared a non-performing asset, according to the company’s annual report.
During this time its debt-equity ratio stood at 1.96–the highest since 2008, while the return on capital employed and operating margin fell to their lower levels in four years to 6.41% and 14.08%, respectively.
Shares of ARSS Infrastructure Projects spiked to 44.20 rupees (up by 20%) today due to debt recast pact reached with lender.
