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Dalmia Cement confident of getting nod for Rs 63.5-bn offer for Binani

The next hearing of the matter will take place at the Kolkata bench of the NCLT on April 9

Press Trust of India  |  New Delhi 

Binani cement
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is confident that its Rs 63.5 billion offer to buy Binani Cements Ltd (BCL) will be approved by the on the back of NCLAT directions to proceed the according to the IBC, according to a top company official.

Last week, the Committee of Creditors (CoC) of had decided to stick with the offer from for the debt-ridden firm's sale under the Insolvency and Bankruptcy Code (IBC).

Moreover, the National Company Law Appellate Tribunal (NCLAT) had also asked the adjudicating authority, which is (NCLT), to proceed with the resolution process of as per the IBC.

"As far as we are concerned, we have a clear cut direction from NCLAT to do the process as per the law and in a timebound manner. That's why we are confident that will be approving our resolution plan on April 9 and that should pave the way for resolving this asset," (Bharat) Ltd Group CEO Mahendra Singhi told PTI.

On April 5, while posting the matter for further hearing on April 19, the NCLAT had stated that "pendency of the appeal will not come in the way of the Adjudicating Authority to proceed with the Corporate Process in accordance with the provisions of I&B Code, 2016".

NCLAT Chairperson Justice SJ Mukhopadhaya had further observed that the "may pass order uninfluenced by the impugned order" of March 27 it had passed and NCLAT's order of April 3, 2018.

"It is great development as the whole process of resolution will not get delayed," Singhi said, adding the case would also show the world that India can bring resolution of stressed assets in a time-bound manner.

Last Tuesday, the NCLAT had given Binani Industries and CoC the 'liberty' to reach settlement after the company had submitted before it stating that it had "offered better amount which is approximately 100 per cent of the dues to the Committee of Creditors".

On March 27, the Kolkata bench of NCLT had stated that "in the larger interest of all stakeholders, possibility of having a harmonious settlement is to be considered, parties are free to consider it out of Tribunal".

The next hearing of the matter will take place at the Kolkata bench of the NCLT on April 9.

Last month, had said its Rs 63.5 billion bid to buy Binani Cements Ltd (BCL) through its subsidiary was accepted by the lenders. It had also offered 20 per cent equity in Binani to the lenders.

However, later, UltraTech Cement entered into an agreement with BIL to buy 98.43 per cent stake in BCL. It had also agreed to issue a comfort letter to provide Rs 72.66 billion to Binani Industries Ltd for ending insolvency proceedings against

Singhi said such a development would have been a breach of contract.

"The offer process has ended and we have already given bank guarantee of around Rs 6.3 billion The whole purpose was to have a transparent process," he said.

Amid the developments, last week Binani Industries Ltd stated that it had filed application for termination of process of its debt-ridden subsidiary Binani Cement Ltd (BCL).

First Published: Sun, April 08 2018. 13:35 IST
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