Tilaknagar Industries settles its dues with Standard Chartered Bank

Alcoholic beverages maker, Tilaknagar Industries Limited (TI) said has executed an agreement with Standard Chartered Bank for settling all outstanding dues of its wholly owned subsidiary, Prag Distillery Pvt. Ltd.

TI, the maker of the Mansion House brandy said that it will repay an amount of $2 million, in tranches, as a full and final settlement, against total dues amounting to $2.3 million. According to the terms of the settlement, the guarantors and Prag Distillery P. will be discharged of all their financial obligations and all pending disputes between Standard Chartered Bank and Prag Distillery will stand resolved, it said in a statement.

Recently, TI issued about 1.39 crore shares to Edelweiss Asset Reconstruction Company Limited (EARC) at a price of Rs 24.36 per equity share for debt restructuring of approximately Rs 33.86 crore. The company had entered into a long restructuring agreement with EARC where total loans of Rs 523 crore have been restructured at Rs 344 crore at an interest rate of 9 per cent.


Founded in 1933 as Maharashtra Sugar Mills, Amit Dahnukar led TI is among India's ten largest distillers and has a diverse portfolio of brands in categories including brandy, whisky, vodka, gin and rum.