McLeod Russel steps out of insolvency after settlement with creditor

Sources say offer has been made to P P Gupta of Techno Electric for a minority stake in the firm, who could chip in to help McLeod promoters bring in equity as per debt resolution

The promoters of McLeod Russel India, the country’s largest tea producer in India, have reached a settlement with financial creditor, Techno Electric & Engineering, paving the way out of insolvency.

Aditya Khaitan, chairman and managing director, McLeod Russel India, did not comment. P P Gupta, managing director, Techno, said, “The matter stands closed to our satisfaction. This is now behind us and we wish the company good luck.”

The interim resolution professional (IRP) of McLeod Russel moved an application under Section 12A in the National Company Law Tribunal (NCLT) seeking withdrawal of CIRP of the corporate debtor, which was heard