National Asset Reconstruction Company (narco), is in the process of making a binding offer to the lenders, said one of the persons mentioned above.
“In view of the judicial delay in getting the scheme approved, the lenders have approached NARCL to get the loan of the shipbuilding company,” said an executive of a lender. “If NARCL achieves this, banks will get 15% return.”
NARCL did not respond to ET’s request for comments.
Creditors voted on a resolution plan jointly presented by Hazel Mercantile-Swan Energy in March, but National Company Law Tribunal ,NCLT) has not yet endorsed the plan.
Over 95% of lenders voted in favor of the Hazel Mercantile-Swan Energy scheme, which offered ₹2,040 crore to financial creditors. Of this, ₹1,640 crore was to be paid over the next five years and the rest after recovery of some dues, as reported earlier by ET. Jindal Steel and Powermaster Naveen Jindalwas also in the fray to acquire RNEL.
NARCL’s offer will be slightly higher than that of the winning bidder, and will be under a 15:85 structure wherein NARCL will pay 15% of the consideration in advance, and 85% will be paid in the form of Security Receipts (SRs). will be payable on recovery of the loan.
Lenders are seeking to sell the loan to the ARC despite voting on a resolution plan as they fear that considering an application under section 29(a) and another application under section 12(a) pending before the tribunal There can be multiple lawsuits. , said an executive of a lender.
section 29(a) of Insolvency and Bankruptcy Code (IBC) prohibits defaulting promoters or their related parties from submitting a resolution plan, while section 12(a) allows the promoter to offer a settlement which may be enforceable, provided 90% of the lenders agree to this. Agree and with the approval of NCLT.