Too low: Jaypee Infra committee of creditors rejects Lakshadweep’s bid

By: | Published: May 10, 2018 5:50 AM

Meanwhile, the embattled real estate company Jaypee Infratech has deposited another Rs 100 crore with the Supreme Court's registry taking the total amount deposited so far to Rs 750 crore.

Jaypee Infra, Jaypee Infra CoC, Lakshadweep bidThe committee of creditors (CoC) of Jaypee Infratech has rejected the offer made by Lakshadweep to buy the embattled real estate company, sources said.

The committee of creditors (CoC) of Jaypee Infratech has rejected the offer made by Lakshadweep to buy the embattled real estate company, sources said. “Around 90% of the votes were against Lakshadweep’s resolution plan,” a source close to the development said. FE had reported earlier that the lenders felt the bid was very low and was half of the liquidation value of the company at around Rs 14,000 crore. “Lenders wanted Lakshadweep to increase the bid value but Lakshadweep didn’t want to increase the offer,” another source said. Lakshadweep, a joint venture between Sudhir Valia-led Suraksha Asset Reconstruction Company and Mumbai-based Dosti Realty, has offered to bring in Rs 3,510 crore upfront for the 25,000-apartment residential project of the Jaypee Group along the Noida Expressway.

In addition, Rs 4,000 crore due to the banks shall be collected from the sale of land parcels of the Jaypee Group.
The CoC had decided to allow voting on the Valia group’s bid from Tuesday afternoon, with lenders allowed to submit their preference until Wednesday. The Supreme Court-appointed resolution professional will now submit the application in the National Company Law Tribunal (NCLT) saying that the CoC is not able to agree to a plan, seeking a liquidation order from the tribunal. “This will be done before Saturday, most likely by Friday, in the Allahabad bench of the NCLT,” another source said. On Friday, the case is listed for hearing in Supreme Court as well.

“The Allahabad bench of NCLT that is hearing the case may ask all the parties to approach the Supreme Court since the matter is being heard in the apex court,” the source said. Meanwhile, the embattled real estate company Jaypee Infratech has deposited another Rs 100 crore with the Supreme Court’s registry taking the total amount deposited so far to Rs 750 crore. Home-buyers of Jaypee Infratech had moved the apex court seeking relief in view of significant delays in completion of housing projects. The plea had further stated that home-buyers were left in the lurch after the NCLT on August 10 last year admitted IDBI Bank’s plea to initiate insolvency proceedings against the debt-ridden

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