 "Reliance Capital")
The bidders of bankrupt financial services firm, Reliance Capital have sought additional time from the lenders to make their final offers.
Banking sources said the Piramal group has sought an extension by 12 weeks, while private equity major Advent has sought time till January end next year--a 16 week extension for submission of binding bid--citing delays in completing its due diligence.
Lenders said other bidders have also asked for more time, including IndusInd International, which has sought 10 weeks extension, US based financial services major, Oaktree (12 weeks) and Zurich Insurance (eight weeks).
The lenders will be meeting in the coming week to decide on a time extension to maximise value for themselves and ensure maximum binding bids for RCap assets.
The existing deadline for submission of binding bids, along with a deposit of Rs 75 crore, is September 29.
The timeline for filing the final resolution plan with the NCLT (National Company Law Tribunal) is November 1.
Reliance Capital had received six bids under option one , i.e. sale of Reliance Capital as an entire company. For this, Torrent group, IndusInd International, Oaktree, Cosmea Financial, Authum Investment, and B-Right Real Estate have submitted indicative bids in the range of Rs 4,000-4,500 crore for all the assets of Reliance Capital. These offers are subject to completion of due diligence.
For profit making Reliance General Insurance business, Piramal Finance has bid Rs 4,000 crore, while Zurich Insurance's bid is Rs 3,500 crore and Advent has made the highest bid of Rs 7,000 crore.
