Bhushan Steel is in talks with banks for restructuring of debt to the tune of $3.7 billion (about Rs 23,000 crore). A consortium of bankers led by Punjab National Bank (PNB) has a total exposure of about Rs 40,000 crore in the company.
Besides PNB, the other banks include State Bank of India, Canara Bank, Bank of India and Dena Bank. An extension of maturity will help banks in making lower provision for the loan given to the debt - ridden steel manufacturer.
Bhushan Steel, formerly known as Bhushan Steel & Strips, is one of the leading players in the steel industry with steel making capacity of 2.2 Million Tonnes Per Annum (MTPA).