Exclusive: Khaitan & Co has closed the corporate debt restructuring (CDR) of roughly Rs 2,500 crore ($550m) of outstanding debts of former Satyam-owned Maytas Infrastructure following the company’s agreement with the lender banks in June this year. Khaitan & Co banking and finance partner Shishir Mehta, who was hired in April this year after having been at White & Case, led the transaction along with associate Kumar Saurabh Singh.

Mehta said: “The CDR Package comprised of a complex restructuring which included negotiation of a Master Restructuring Agreement which outlined revised terms of various term loans, working capital loans, non-fund based facility, funded interest term loan and Optionally Convertible Cumulative Redeemable Preference Shares (OCCRPS). This was supported by various security documents.”

He added that the CDR was purely domestic in nature and there was no involvement of international counsel.

Mehta also commented that the lenders [consisting of 17 banks] wielded a lot of control on the CDR scheme due to the Satyam legacy of the erstwhile promoters of Maytas.

A Khaitan & Co spokesperson said that the deal involved approximately Rs 2,500 crore of debt.

“The cash-strapped company is negotiating with its 17 lenders, including major ones such as State Bank of India and ICICI, as part of efforts to restructure an overall Rs 1,700 crore outstanding debt. While ICICI’s exposure is nearly Rs 400 crore, that of SBI is about Rs 200 crore,” the Hindu had earlier reported.

This year in June, Maytas Infra had announced its decision to float a draft CDR package for restructuring the company’s outstanding debts after the Government appointed four directors to manage its affairs as per the Company Law Board’s order.

Maytas Infra was previously owned by former Satyam chairman Ramalinga Raju who had confessed to committing Rs 7,000 crore accounting fraud in 2009.