JP Morgan demands loan repayment of Rs 268 cr from M&M SsangYong Motor Co
JP Morgan has sought repayment of loan worth 40 billion Korean wons from Mahindra & Mahindra's troubled foreign arm SsangYong Motor Company (SYMC) but the South Korean auto maker has expressed its inability to pay the amount now.
Following the Korean automaker's application for rehabilitation dated December 21, JP Morgan issued a notice to the cash-strapped firm demanding the repayment of an outstanding loan amount of 40 billion KRW (around Rs 268 crore with interest), M&M said in a regulatory filing.
"SYMC has today intimated to the Korean Stock Exchange that it could not repay the loan amount of 40 billion KRW to JP Morgan on account of its application for rehabilitation," it added.
The Korean automaker has outstanding loans aggregating to 100 billion Korean Won (around Rs 680 crore) from Seoul-based branches of JP Morgan Chase Bank, BNP Paribas and Bank of America.
Last week, M&M had informed the bourses that SYMC has missed repayments of loans aggregating to 60 ...