Committee of Creditors further extend deadline for submitting Srei firms’ resolution plans | The Financial Express

Committee of Creditors further extend deadline for submitting Srei firms’ resolution plans

“Accordingly, the name of Authum Investment & Infrastructure Limited has been included in the final list of Prospective Resolution Applicants for SIFL and SEFL,” Sharma said in a note.

Committee of Creditors further extend deadline for submitting Srei firms’ resolution plans
The CoC was in favour of further extending the deadline of accepting the resolution plans from November 25 as the creditors have been negotiating with the prospective applicants for higher financial bids.

The consolidated committee of creditors (CoC) for two insolvent Srei Group companies has decided to further extend the deadline for submission of the resolution plans by prospective resolution applicants till December 2, as Authum Investment and Infrastructure has joined the race to acquire the companies under the corporate insolvency resolution process.

The CoC was in favour of further extending the deadline of accepting the resolution plans from November 25 as the creditors have been negotiating with the prospective applicants for higher financial bids.

“Creditors are currently having talks with the prospective resolution applicants, especially the entities which have recently submitted their EoIs. Negotiations are on with them. Creditors are expecting higher financial bid values and upfront cash offers,” sources close to the development told FE.

Notably, the expression of interest (EOI) from Authum Investment and Infrastructure was received by Rajneesh Sharma, the administrator of Srei Infrastructure Finance (SIFL) and Srei Equipment Finance (SEFL), on November 11.

“Accordingly, the name of Authum Investment & Infrastructure Limited has been included in the final list of Prospective Resolution Applicants for SIFL and SEFL,” Sharma said in a note.

ALSO READ Creditors expect higher bid values for insolvent Srei firms

Authum Investment last month acquired debt-ridden Reliance Commercial Finance (RCFL) for Rs 1 crore. After Authum submitted the EoI for the Srei firms, the final list of the prospective resolution applicants for the two NBFCs consisted of 17 entities. Other latest entrants to the list are AM Mining, an affiliate of ArcelorMittal, Capri Global and National Asset Reconstruction Company (NARCL).

“Although the deadline for submission of the resolution plans has been extended till December 2, final date for completion of the CIRP process remains January 5, 2023,” the sources cited above said. Insolvency proceedings against SIFL and its subsidiary SEFL commenced in October 2021 after insolvency petitions filed by the Reserve Bank of India were approved by the Kolkata bench of the National Company Law Tribunal.

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First published on: 25-11-2022 at 05:45 IST