Bharat Road Network Limited (BRNL) has reported a default on its loan obligations amounting to a total of Rs 313.73 crore to Srei Equipment Finance Limited. The disclosure, filed under Regulation 30 of SEBI LODR Regulations, highlights a payment default on a secured rupee term loan facility with a bullet repayment structure.
As per the filing, the company defaulted on a principal amount of Rs 193.57 crore as of March 31, 2025, and an interest amount of Rs 120.16 crore as of June 30, 2024. The loan carried a fixed interest rate of 12% per annum and was scheduled for bullet repayment at the end of five years from the date of initial disbursement.
The total outstanding borrowings from banks and financial institutions currently stand at Rs 263.57 crore in principal and Rs 128.72 crore in accrued interest. BRNL clarified that the interest has not been recognized since July 1, 2024, and the figures are provisional, subject to confirmation from the lenders.
The company has also stated that the non-recognition of interest has been adequately disclosed in its quarterly financial statements submitted to the stock exchanges.
This significant default could raise concerns among stakeholders, particularly due to the company’s high indebtedness and delayed interest servicing.
