Cash-strapped DHFL postpones financial results by two weeks 

The non-banking finance company has been facing a liquidity crisis and recently defaulted on its repayment obligations.
DHFL (File Photo | Reuters)
DHFL (File Photo | Reuters)

Cash-strapped Dewan Housing Finance Corporation Ltd (DHFL) on Friday postponed its financial results for the quarter and year ended March 31, 2019, by two weeks.

DHFL said the postponement is due to “certain unforeseen operational engagements, including non-availability of a few directors to ensure participation of all the members of the audit committee as well as the board, for taking into consideration and approval of the financial results for the fourth quarter/ financial year ended March 31, 2019”.

The non-banking finance company has been facing a liquidity crisis and recently defaulted on its repayment obligations.

The company has resorted to various modes of fund mop-up, including selling stake in subsidiary firms to meet its debt obligations.

“The date of the board meeting... to consider and approve the audited financial results of the company for the fourth quarter/ financial year ended March 31, 2019, and matters relating to the ensuing annual general meeting, as intimated earlier that June 29, 2019, is being postponed to July 13, 2019,” DHFL said in a regulatory filing.

Dewan Housing Finance Corporation Ltd (DHFL) earlier this week said it will shortly divest its full stake in subsidiary firms DHFL Pramerica Asset Managers and DHFL Pramerica Trustees.

In a latest, the company on Tuesday defaulted on 60 per cent of the principal repayment on commercial papers worth Rs 375 crore.

The company said it defaulted on principal repayment on commercial papers (CPs) worth Rs 225 crore, while the payment on the remaining Rs 150 crore (40 per cent) was done.

DHFL also said the balance of Rs 225 crore would be paid once the surplus cash flow position improved over the next couple of days.

Its shares were trading 7.34 per cent lower at Rs 75.70 apiece on the BSE.

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