Coffee Day Enterprises Ltd, which owns and operates the Cafe Coffee Day chain, on Monday (March 17) said it has reached a settlement agreement to clear ₹205 crore in outstanding dues owed to two debenture holders. The repayment will be made in three tranches, including ₹55 crore from the sale of 12.41% of pledged and invoked shares of Coffee Day Global Ltd to a third party.”The company has negotiated and agreed to settle the outstanding debt of the two debenture holders for an amount of Rs 205 crores payable in three tranches which includes the amount realized on sale of 12.41% of the pledged and invoked shares of Coffee Day Global Limited owned by the Company, by the lender to a third party for ₹55 crores,” Coffee Day Enterprises said in a regulatory filing
The company’s Audit Committee and Board approved the draft settlement agreement on March 17, 2025. This move is part of CDEL’s broader debt reduction strategy, reinforcing its commitment to financial stability and long-term stakeholder value.
Also Read: NCLAT sets aside insolvency proceedings against Coffee Day Enterprises“This settlement ensures the debt reduction commitment of the company and it’s subsidiaries in the interest of all stakeholders. The company remains committed to fulfilling its obligations and ensuring long-term value creation for stakeholders,” it added.
The company’s Audit Committee and Board approved the draft settlement agreement on March 17, 2025. This move is part of CDEL’s broader debt reduction strategy, reinforcing its commitment to financial stability and long-term stakeholder value.
Also Read: NCLAT sets aside insolvency proceedings against Coffee Day Enterprises“This settlement ensures the debt reduction commitment of the company and it’s subsidiaries in the interest of all stakeholders. The company remains committed to fulfilling its obligations and ensuring long-term value creation for stakeholders,” it added.
Coffee Day Enterprises has been in trouble since the death of its founder, VG Siddhartha in July 2019. It is paring its debts through asset resolutions and has significantly scaled down its operations.
Shares of Coffee Day Enterprises Ltd ended at ₹23.38, down by ₹1.21, or 4.92%, on the BSE.
Also Read: Stock exchanges suspend Coffee Day Enterprises trading
(Edited by : Shoma bhattacharjee)
First Published: Mar 17, 2025 5:27 pm IS