Hero Honda becomes debt free

NEW DELHI, APRIL 8. India's largest motorcycle maker Hero Honda Motors has become debt free by repaying all its overseas and domestic lending worth over $14.2 million (about Rs. 65 crores), a top company official said.

``We have become a debt free company from March 21 this year. All our loans have been repaid much before their due dates,'' Hero Honda director (finance) Mr. Ravi Sud told PTI.

He said the company had repaid all its foreign currency borrowings totalling $13.2 million (over Rs. 60 crores) to Development Bank of Singapore (DBS, Singapore), ABN Amro Bank (Amsterdam), Bank of America (Taipei) and Bank of Tokyo Mitsubishi (Singapore).

Apart from this, Hero Honda had also taken a Rs. 5 crores (over one million dollar) non-convertible debentures (NCD) loan from Unit Trust of India which was also paid before its scheduled repayment date, Mr. Sud said.

He said the repayment period for the foreign currency borrowings ranged from three to seven years.

- PTI

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Section  : Business
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