New Delhi, June 26: Beleaguered retailer Subhiksha today said its Rs 800-crore debt restructuring programme was on track and that most of its lenders and shareholders were working together to revive the company.

“Twelve of the 13 lender banks along with the three major shareholders are working on the debt restructuring plan and ways to infuse funds into the company to revive operations. The contours of the revival plan have been agreed (upon),” said R. Subramanian, managing director of Subhiksha Trading Services.

Only Kotak Mahindra Bank — which is one of the smallest lenders — chose to go legal. The remaining 12 banks, including the six which are part of a corporate debt restructuring (CDR) process and the six others that are not part of CDR, have been working together on the revival package, Subramanian said. “The deadline for the closure of CDR is July 31, 2009, and the company is confident that the process will be completed well before that date.”

The Corporate Debt Restructuring cell, a voluntary organisation backed by the RBI assisting lenders and borrowers, began working on Subhiksha’s debt from February. CDR involves a viability analysis followed by the restructuring of existing loans and the infusion of fresh loans.

Officials said it was the first CDR in the service segment and given the large number of banks and the amount involved, it would set a standard for restructurings in the service industry.