NCLT approves J K Papers' resolution plan for revival of Sirpur Paper Mills

According to the resolution plan, the new promoter would bring in a total funding of Rs 7.82 billion, including a settlement payout of Rs 3.71 billion, for the revival of Sirpur Mill

National Company Law Tribunal (NCLT)'s Hyderabad bench on Thursday approved the resolution plan submitted by J K Papers Limited for the revival of Sirpur Paper Mills Limited's operations in Telangana. 

J K Paper's resolution plan involves payment of Rs 3.4 billion to the secured financial creditors and a payment of another Rs 310 million to the employees and operational creditors as against the total admitted claims of Rs 6.73 billion. 

In this the company has offered to make an up front cash payment of Rs 1.35 billion besides a payment of Rs 0.43 billion through buy back of equity shares