Kohinoor Foods Ltd has officially completed its payment obligations under the revised One-Time Settlement (OTS) with consortium lenders. The company has secured No Dues Certificates from all individual lenders, marking a significant milestone in its debt-restructuring and Revive Plan. While a consolidated certificate is still awaited, this development signals a major reduction in legacy financial stress, potentially stabilizing the company's long-term balance sheet.
Kohinoor Foods Completes OTS Payments, Secures Debt Relief
OTS payments completed including interest; All individual No Dues Certificates received.
Reader Takeaway: Settling legacy debt improves balance sheet health, though final consolidated clearance remains the next key milestone.
What just happened
Kohinoor Foods Ltd has finalized its payment obligations under the One-Time Settlement (OTS) proposal sanctioned on December 24, 2024. The company has successfully cleared its principal dues along with applicable delayed interest. As of September 22, 2026, the company holds individual No Dues Certificates from every lender in its consortium, with the final certificate from Indian Bank received on that date.
Why this matters
For years, legacy debt has been a primary drag on Kohinoor Foods' financial performance and strategic flexibility. By meeting the OTS terms, the company has effectively navigated a critical phase of its 'Revive Plan.' This milestone is essential for cleaning up the balance sheet and reducing the interest burden that has historically constrained the business.
What changes now
With individual lender clearances in hand, the company has shifted its focus to obtaining the final consolidated 'No Objection / Dues Certificate' from the consortium. Once this is received, the company will have formally exited its debt-restructuring deadlock, allowing management to pivot toward operational growth and long-term strategic priorities.
What to track next
Investors should monitor official filings for the receipt of the consolidated certificate from the consortium lenders. Following this, watch for management guidance on capital allocation and potential shifts in operational focus now that the debt overhang is largely addressed.