Vishal to move HC for relief from asset sale order

Buoyed by robust sales in the last two months, Vishal Retail today said that it is planning to approach the Delhi High Court to seek relief from an order restricting it from selling any of its assets over the next six months.

Vishal Retail is eyeing sales to the tune of Rs 1,800 crore this fiscal.

On a petition filed by Vishal's Singapore-based creditor DBS Bank, the High Court had, on May 11, passed an interim order barring the cash-strapped company from selling any of its assets before November 25.

Vishal, which had already received approval from the lenders for a possible takeover by PE firm TPG Capital, is is yet to clear dues of DBS Bank, amounting to Rs 40 crore.
    
"We will move the HC this month with our plea. We are quite hopeful that the judgement will be in our favour. We will soon get some respite," Vishal Retail's chairman and managing director Ramchandra Agarwal told PTI here.
    
The order, passed by the court last week, had also directed the debt-ridden retail firm to submit details of its debtors and creditors with their complete addresses.
    
The New Delhi-based retailer, which had approached the CDR cell late last year following accumulation of around Rs 730-crore debt, has witnessed a 40 per cent increase in sales.