Supreme Infrastructure nears debt settlement of Rs 2,200.36 crore after tribunal extends deadline

what happened

Supreme Infrastructure India Limited is moving closer to clearing legacy debt of Rs 2,200.36 crore owed to 14 financial creditors, according to Moody's. The Mumbai Bench of the National Company Law Tribunal issued an order on October 28, 2026, that advances the restructuring. The tribunal moved the payment deadline to October 31, 2026, and told the lead bank to set up the escrow within two working days. The directions followed minutes agreed with SBI, PNB and Union Bank of India on October 26.

The order also covers the release of securities and charges, the allocation of funds, discharge certificates and a Rs 5 crore reimbursement, along with consequences for missing the deadline. The company has already paid lenders Rs 687.73 crore. Eleven of the 14 creditors have received their amounts and lifted their charges, while the rest is being handled through an escrow involving SBICAP Trustee Company Limited.

Creditors backed the restructuring plan with 93.62% of votes in May 2024, and the tribunal sanctioned the scheme in March 2025. It covers principal debt as of June 30, 2022, while accrued interest and penal charges are subject to waiver once the settlement is complete. The company's chief financial officer said the process would strengthen the balance sheet and support long-term growth.

why it matters

For investors this is a company-specific event for an infrastructure group listed on BSE and NSE. Clearing the debt and waiving interest would ease pressure on its balance sheet, but the outcome depends on completing the remaining payments and formalities by the new deadline.

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