New Delhi: In a letter to Amazon, the future retail of Kishore Biyani (FRL) has asked the US e-commerce giant to RS 3,500 Crore on January 24 to repay its lenders and avoid default.
FRL, which operates a large chain of Hypermarket Bazaar stores, is required to pay the loan in number on January 29, failed to be classified as nonperforming assets (NPA).
The company is set to default on payment, said people who know this problem.
Retailers who lack money, are currently entangled in bitter legal battles with Amazon for the sale of assets proposed to rely on RS 25,000 Crore, have missed the due date on or before December 31, 2021.
Letter FRL for Amazon came two days after the LED e-tailer Jeff Bezos in a letter warned FRL against selling small shops operating under easy fresh brands and inheritance without his consent.
FRL lenders try to put these shops on the block to recover fees.
In the letter January19, Amazon offers financial assistance as well.
The e-tailer has alleged that FRL has signed a period of time not binding with private equity players Samara Capital, which requires 7,000crore Rs investment, before the announcement of the agreement relies on the future.
FRL, however, asked Amazon to confirm whether it can act on behalf of Samara and have the authority to negotiate and finish such a transaction on its name.
“Your letter refers to potential transactions between Samara Capital and FRL, as ‘solution’,” FRL wrote in the letter on January 21.
“Please also confirm the structure for the proposed transaction, and that Samara’s capital management is owned.
-And is controlled by the Indian population.
As you know, FRL is in the multi-brand retail sector, and FDI in this sector is limited.” Amazon and FRL no.
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The future is ₹ 3.5k CR from Amazon to avoid default
