The close friends of Cafe Coffee Day founder Siddhartha say that they were trying to sell their real estate properties to get out of this crisis of debt, but there was no success in this. If this were the case, financial difficulties would be reduced to them.
There are various types of discussions about the suicide of the country’s famous coffee chain Cafe Coffee Day, VG Siddhartha, but the biggest question is why he took the unfortunate decision to end life. It was probably due to their constant debt trap. He had to take short term loans for his business for the past one year. Apart from this, due to the sinking of IL & FS, they were struggling with cash crunch. This led to a big increase in their troubles.
The close friends of Cafe Coffee Day founder Siddhartha say that they were trying to sell their real estate properties to get out of this crisis of debt, but there was no success in this. If this happens then the financial difficulties for them are reduced and they will have some cash, and they have some cash. Until disappear on July 29, he was trying for a loan of Rs 1,600 crore from a major institution in the country. If he got success in this, he could get great relief.
Coca-Cola was going to talk about selling stake The crisis of debt in front of Siddhartha was so deep that he started talking to Coca Cola to sell a large part of his flagship brand CCD. An investment banker close to Siddhartha said, “Working on these two deals at the same time was quite stressful for them. If their deal for selling a business park would have been successful, then the economic pressure would have gone down.
In one year it was to give loan of Rs 3,890 crore
To settle regular loans, Cafe Coffee Day started taking short term loans. Last year, the company’s short-term loan rose 5 times to Rs 3,890 crore. They had to pay these loans in 12 months. Because of this, he was busy trying to sell many of his business assets.