Coffee Day Enterprises Limited (CDEL) saw a nearly 5 per cent surge in its shares during trading today after announcing a debt settlement agreement with debenture holders. As of 1:00 PM, the stock was trading at ₹24.49, up ₹1.16 or 4.97 per cent.
In regulatory filings submitted yesterday, the company disclosed that it has reached a settlement for its outstanding debt amounting to ₹205 crore, which will be paid in three installments. This includes ₹55 crore already generated from the sale of 12.41 per cent pledged shares of Coffee Day Global Limited to a third party.
The proposed settlement agreement received approval from both the Audit Committee and Board of Directors during their meeting on March 17, 2025.
Additionally, CDEL announced the appointment of Mrs. Sowrabhi Ramadas as an Additional Director in the category of Non-Executive Director, effective immediately. Ramadas brings a wealth of experience from her background in marketing, education, and entrepreneurship.
The company emphasized that the debt settlement signifies its commitment to reducing debt and creating value for all stakeholders. It reiterated its dedication to meeting its obligations and ensuring long-term value creation.
The stock market responded positively to this news, with CDEL shares experiencing a boost following the debt settlement announcement. This signifies a step in the right direction for the company and its financial health.
