ET had reported on September 29 that debenture holders of a step down subsidiary of Peninsula Land had claimed that the company had defaulted on ₹118 crore of dues. They claimed that Peninsula Land, the holding company, had guaranteed the debentures issued by the step down subsidiary. ICICI Prudential Real Estate AIF is the debenture holder. There are no debenture holders from the general public.
The settlement terms are unknown but Peninsula Land will have to meet certain payment milestones as the withdrawal of the insolvency petition is conditional. Peninsula Land and ICICI Prudential did not respond to queries until press time.
Peninsula Land is known for building office parks in Mumbai’s upscale Lower Parel. The company also has a joint venture with Canada’s Brookfield for real estate development. The Piramal Family and Jayadev Mody are co-promoters of Peninsula Land. Mody is the spouse of Zia Mody, one of the founders of law firm AZB & Partners.
As per a stock exchange disclosure on February 13, the holding company has also settled a loan of ₹ 85 crore with one of its lenders on January 31. The disclosure also stated that the group has debt service obligations of ₹393 crore over the next 12 months. The company also said that overall external debt has been reduced from ₹1,761 crore as on March 31, 2020 to ₹590 crore as on December 31, 2022.