Fintech lender Kinara Capital knowledgeable exchanges on Thursday that sure lenders have appropriated or set off fastened deposit receipts maintained by the corporate in the direction of their respective amenities. With out naming the lenders or elaborating additional, it said that it’s exploring “a mutually acceptable long-term decision within the curiosity of all its stakeholders.”
As of now, fintech has not defaulted on any loans or bonds or curiosity funds.
A observe issued by ICRA detailed the occasions that led to the disaster. It said that “two lenders set off about Rs 81 crore from financial institution balances and encumbered fastened deposits in opposition to a portion of the borrowings excellent, whereas recall notices to the extent of Rs 66 crore have been issued.”
The corporate’s free money has declined from Rs 98 crore to Rs 70 crore, the observe added.
ICRA said that Kinara Capital is considering the sale of property and corresponding switch of liabilities. “This motion by just a few lenders could lead on the opposite lenders to additionally set off early redemption, which can considerably impression its liquidity profile within the close to time period,” ICRA mentioned. As of June 2025, the corporate had a complete debt of Rs 1,853 crore from 46 lenders. The score company has downgraded the corporate’s bonds and loans to ICRA C from ICRA BBB-, stating that the above developments may impair Kinara’s monetary flexibility to proceed its regular operations.
Following this improvement, two administrators—Arvind Kodikal, nominee director, and Aiswarya Ravi, whole-time director—resigned.