- Many startup founders who had earlier prioritized growth over profitability are now forced to re-look at their business strategy as covid-19 has impacted startups and big corporates alike
- In April and May, multiple startups have laid off or furloughed employees and contract staff, besides salary cuts to save cash after revenues take a hit
Franklin Templeton mutual fund may take over five years to return some fund
The development is the latest turn after the company shut six debt schemes last month in the country’s biggest-ever fund freeze, which triggered shock waves in local credit markets
Investors in some of the credit funds run by Franklin Templeton’s India unit may have to wait over five years to fully recoup their money, the asset manager said in an email to investors. The email and attached documents, which were seen by Bloomberg and
confirmed by the company, laid out the latest timeline for scheduled
cash flows. The timing could wind up being sooner, as any sale of the
underlying assets in the frozen funds in the secondary market and
prepayments or accelerated payments made by issuers of debt in the funds
would quicken the payout, according to the documents.
The fund manager had previously said it is seeking investor approval to liquidate the six debt schemes.
