IL&FS resolves `1,275-cr debt, exits technology biz

Mumbai: Debt-ridden Infrastructure Leasing and Financial Services (IL&FS) on Thursday said it has completed sale of its 52.26 per cent stake in Terracis Technologies Ltd (TTL) to Falcon SG Holdings, (Philippines) Inc (Falcon SG).

With this, the group has resolved close to Rs 1,275 crore of its debt and has completely exited the technology business, a release said. This is an equity positive transaction wherein the entire debt has been taken over by the new promoter, it said.

This transaction resolved the group's outstanding debt to the tune of Rs 757.79 crore. Earlier this month, the IL&FS Board had announced that the group resolved over Rs52,000 crore debt, while maintaining its overall debt resolution estimate at Rs 61,000 crore.

The transaction would release corporate guarantees extended by various IL&FS Group entities and will also facilitate reduction of five entities within the Group: TTL and its four subsidiaries – Land Registration Systems Incorporation (LARES), IL&FS Technologies Philippines Incorporation (ITPI), LIVIA India Ltd (LIL) and Bhopal e-Governance Ltd (BEGL).

With this transaction, over 200 employees within these companies would also now shift with the company to the new promoter, the release said.

TTL has more than a decade of experience in providing information technology solutions for efficient citizen service delivery and smart governance, through its customized solutions.

TTL was formerly known as IL&FS Technologies Ltd and Falcon SG is a wholly owned subsidiary Falcon Investments Pte Ltd, a part of Gateway Partners and Avenue Capital Group.

On Wednesday, the group said that it had completed the sale of its 71.84 per cent stake in IL&FS Prime Terminals FZC (IPTF) to VTTI Terminal I BV (VTTI).