Updated on Thursday, July 02, 2009, 21:21 IST

New Delhi, July 02: Giving major relief to Maytas Infra, promoted by the kin of Satyam Computer founder Ramalinga Raju, 18 banks today approved the corporate debt restructuring package for the company, providing Rs 100 crore as working capital, besides more time to repay loans.

"The bankers will pay Rs 100 crore as working capital to the company and provide Rs 200 crore as bank guarantee," said Ved Jain, director, Maytas Infra.

The CDR package was approved by 18 banks including State Bank of India, ICICI Bank, Punjab National Bank, IDBI Bank and Indian Overseas Bank.

As regards the outstanding debt of Rs 1,600 crore, Jain said the banks have given more time to the company to repay loans. The company, according to the terms of the CDR, will start repaying loans after three years and have 10 years to clear its dues.

The outstanding bank guarantees of Rs 1,200 crore provided to the company would continue, he said, adding they have also promised to pay Rs 100 crore in future, apart from the Rs 200 crore as part of the CDR.

Maytas Infra, he added, would now be able to execute all its current projects, besides taking up new ones with the CDR packaging.

Bureau Report