Debt-ridden lenders (RCL) on Sunday decided to extend the deadline for the resolution process by two more months to November 2 as there has been a slow response from bidders for its acquisition. The deadline was already extended once for 90 days – from June 3 to September 2, 2022. This is the second extension given by the Committee of Creditors (CoC) to complete the resolution process.

As per the Insolvency and Bankruptcy Code (IBC) rules, the administrator had to close the RCL proposal within 180 days – by June 3.

Besides this, the CoC also decided to extend the last date for submission of resolution plans by the prospective bidders from June 20 to July 11.

Sources said the deadline for submission of resolution plans has been extended as some potential bidders have written to the administrator seeking more time for submission.

Piramal Enterprises had asked to extend the deadline to August 10, while

Sources said that a request was made to extend the deadline to July 15.

According to sources, the deadline for completion of resolution process and submission of resolution plan has been extended due to cold response from the bidders.

Out of around 54 EoIs received initially, only a handful of bidders are now engaged with the administrator, sources said, adding that lenders had given two options to the bidders.

Under the first option, the bidders were allowed to take over RCL along with its eight subsidiaries.

And the torrent group has chosen this option.

In the second option, the bidders may submit resolution plan for a single subsidiary as well. For the general insurance cluster, Zurich Insurance has shown interest, while

The group’s interest was in the life insurance arm of RCL.

reserve Bank of India ,reserve Bank of India) had superseded the K board on November 29 last year

Ltd. (RCL) in view of payment defaults and serious governance issues.

RBI appointed Nageswara Rao Y as Administrator in respect of Corporate Insolvency Resolution Process (CIRP) of the company.

It is the third largest non-banking financial company (NBFC) against which the central bank has recently initiated bankruptcy proceedings under the IBC. the other two were Srei Group NBFCs and Dewan Housing Finance Corporation (DHFL).

RBI subsequently filed an application in the Mumbai Bench of the National Company Law Tribunal (NCLT) to initiate CIRP against the company.

In February this year, the RBI-appointed administrator invited expressions of interest (EoIs) for the sale of Reliance Capital.