Is Cafe Coffee day heading towards bankruptcy?

Cafe Coffee Day is facing trouble from the last one year after a suicide of its founder V. G. Siddhartha. Despite reduction of debt from whopping 4000 Crores to 518 Crores which they have achieved by selling assets, CCD defaulted to pay interest and principal on time. The detail of defaults as accessed from BSE is mentioned below. As on 06.04.2021, the CCD has to pay (25+7.33+200+30) = 263 Crores of principal and interest to the creditors. However, as their revenue is keep on falling from 4000 Crores in 2018 to ~1400 Crores in 2021 they are not generating any profit from the business at operational level from last 2 years. And, icing on cake is lockdown which is already implemented many places in India directly hampering retail chain outlets. Because of which they are not in position to pay this debt. Now, they will have to find a way by selling more assets to prevent them to go the bankruptcy. What will happen next? The creditors will definitely give them some time to pay back the principal and interest and if they fail to do so, creditors can take them to NCLT. So, we need to watch the development in this counter closely to get more insights in future. Stay tuned with us for more such updates.