Half of Crisil-rated mid-sized companies will be eligible for the restructuring window offered under Resolution Framework 2.0 announced by RBI, it said. Mid-sized companies refer to those with aggregate bank loan exposures of less than ₹500 crore. Crisil said it rates about 6,800 mid-sized companies, excluding financial sector entities. Restructuring 2.0 may provide interim liquidity relief to these companies to cope with near-term cash-flow mismatches," Rai said. This relief was complemented by a rebound in demand, that limited the number of firms that had opted for restructuring.

Source: Mint May 06, 2021 20:03 UTC