Tata Steel, Vedanta among those with resolution plans for Electrosteel Steels

Debt-ridden Electrosteel Steels on Tuesday said four companies- Tata Steel, Vedanta, Renaissance Steel India and Edelweiss Alternative Asset Advisors Pte -have submitted bids to its Resolution Professional, under the corporate insolvency resolution process in terms of the Insolvency and Bankruptcy Code, 2016 (IBC).

The company, which owes lenders Rs 11,309 crore, had been referred to the bankruptcy court by the State Bank of India (SBI) under Section 7 of the IBC following a nudge from the Reserve Bank of India. The RBI had asked banks to refer a dozen troubled companies to the National Company Law Tribunal (NCLT).

The company said the corporate insolvency resolution process, in terms of IBC, was commenced against it pursuant to the order dated July 21, 2017 passed by National Company Law Tribunal's (NCLT), Kolkata bench.

The Resolution Professional had issued an expression of interest requesting prospective investors i.e. potential resolution applicants to submit their bids in relation to the corporate insolvency resolution of the company.

As intimated by the RP, on close of business on January 4, four resolution plans werre received, the company said in a regulatory filing.

It said the plans have been received from "Renaissance Steel India Private Ltd, Tata Steel Ltd, Vedanta Ltd and Edelweiss Alternative Asset Advisor Pte Ltd acting as the investment advisor of EISAF II and EC Holdings, with support of Edelweiss Asset Reconstruction Company Ltd".

--IANS

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