Anil Agarwal group-owned Vedanta on Saturday said it has won the bid to acquire bankrupt Electrosteel Steels Ltd in an insolvency auction.“Vedanta Limited hereby informs that it has been declared as the successful resolution applicant by the committee of creditors (CoC) for Electrosteel Steels Ltd under the Corporate Insolvency Resolution Process of the Insolvency and Bankruptcy Code, 2016 and has received a Letter of Intent (LoI) today,” the company said in a BSE filing.
Vedanta said it has accepted the terms of the LoI. The closure of the transaction will be subject to compliance with applicable regulatory requirements and as per the final terms approved by the National Company Law Tribunal, it added.
On July 21 last year, the NCLT had admitted State Bank of India’s (SBI) insolvency petition against Kolkata-based Electrosteel Steels. The company, which owes lenders `11,309 crore, had been referred to the bankruptcy court under Section 7 of the IBC following a nudge from the Reserve Bank of India (RBI).