Swan Energy Prepays Rs 2,206 Crore Debt

Mumbai, Mar 4 (PTI) Swan Energy on Monday said its natural gas business arm Swan LNG Pvt Ltd has prepaid Rs 2,206 crore of loan taken from a consortium of lenders.

Post-prepayment, Swan LNG's debt has come down to Rs 1,611 crore and the firm will save around Rs 250 crore in interest cost annually, the company said in a statement without disclosing the lenders' names.

Before the repayment, the group's overall debt stood at Rs 3,817 crore as of December 2023.

To facilitate the pre-payment, the parent company Swan Energy has lent Rs 2,210 crore to Swan LNG.

Swan Energy had last week raised Rs 3,000 crore through a qualified institutional placement of equities to SBI Life, LIC, LIC Mutual Fund, Tata Mutual Fund, Infini Mutual Fund, SBI General Insurance, BNP Paribas Mutual Fund, Nomura, Diamond Asia, Bank of India Mutual Fund, ITI Mutual Fund, Goldman Sachs, Future Generali, Anand Rathi, and Quant Mutual Fund, among others.

Meanwhile, public sector fertilizer major IFFCO, which has a joint venture with Swan Energy, has moved the National Company Law Tribunal seeking restrain on the JV firm -- Triumph Offshore -- from passing any resolution without its approval and issuing any share/security to the lenders against loans.

IFFCO owns a 49 per cent stake in Triumph Offshore, a floating storage and regasification unit.

Swan Energy on Monday said the IFFCO's move has come on the heels of launching Swan Energy's Rs 3,000 crore QIP issue.

Also, according to Swan Energy, IFFCO had earlier expressed interest in exiting the JV at a fair market value.

IFFCO, in its petition filed before the Ahmedabad bench of the NCLT, alleged that Triumph Offshore is pre-paying the debt, which may result in dilution of its shareholding in the joint venture firm and is detrimental to its interest.