Page 5 - Reliance Capital
Concerns over bidding process as Reliance Cap resolution enters final stage
Suitors have raised concerns over the bidding process, including the introduction of 'challenge mechanism', as the resolution process of debt-ridden Reliance Capital Ltd (RCL) enters the final stage. According to sources, the decision of the Committee of Creditors (CoC) to introduce a new clause 'Challenge Mechanism' in the bidding process has upset the bidders. The 'Challenge Mechanism' gives lenders the power to oppose any resolution plan as and when they want. Bidders have raised concerns about the introduction of this new clause at this late stage of the bidding process, sources said, adding there was no mention of this mechanism in the Request for Resolution Plan (RFRP) document. RCL had offered two options to all the bidders. Under the first option, companies could bid for Reliance Capital Ltd (RCL), including its eight subsidiaries or clusters. The second option gave the company freedom to bid for its subsidiaries, individually or in a combination. RCL has eight businesses
 "Concerns over bidding process as Reliance Cap resolution enters final stage")
Loans to arms had Rs 1,755-crore impact on Reliance Capital in FY20: Audit
Nageswara Rao Y is the administrator of Reliance Capital
NCLT extends Reliance Capital debt resolution deadline to January
This is the third deadline extension as the lenders seek better offers from the bidders
 "NCLT extends Reliance Capital debt resolution deadline to January")
Torrent group to make Rs 2,900-cr bid for Reliance Nippon Life Insurance
Reliance Capital is undergoing a bankruptcy process and the administrator had sought offers for the entire company and for its various business clusters
 "Torrent group to make Rs 2,900-cr bid for Reliance Nippon Life Insurance")
Dish TV, Nelco, NDTV, Reliance Capital and 242 others freeze upper circuit
As of 12.14 pm, these stocks gained between 5 per cent and 20 per cent, as against 0.85 per cent decline in the Sensex at 59,032 points.
 "Dish TV, Nelco, NDTV, Reliance Capital and 242 others freeze upper circuit")
Financial bids for Reliance Capital to be submitted on Mon as deadline ends
The bidders for Reliance Capital assets have to submit their financial bids by August 29 (Monday), as the final deadline for the submission of bids ends tomorrow
 "Financial bids for Reliance Capital to be submitted on Mon as deadline ends")
Reliance Capital posts Rs 491 cr loss in Q1; total income falls 19%
Total expenses in Q1FY23 stood at Rs 4,067.53 crore as against Rs 5,261.14 crore in the year-ago period
Lenders extend deadline for resolution plan on Reliance Cap for 5th time
Lenders to Reliance Capital Ltd on Wednesday granted the fifth extension of deadline for submission of resolution plans as bidders sought more time to complete the due diligence process, sources said.
CFM ARC sells JBF Industries assets to Reliance Industries entity
RIL was the lone bidder for the company with a Rs 825-crore offer as against the dues of Rs 2,100 crore of banks
 "CFM ARC sells JBF Industries assets to Reliance Industries entity")
RCap lenders hive off home finance, NBFC into separate trust for resolution
The proceeds of the sale of these two companies in future will flow directly to the lenders of the Reliance Capital which is currently undergoing a bankruptcy process
CoC members, bidders must be barred from buying RCap bonds held by LIC: NGO
They are "insiders" and have access to crucial information, says Infrastructure Watchdog; meanwhile, last date if bond sale to be extended to July 22 as LIC finds no takers
 "CoC members, bidders must be barred from buying RCap bonds held by LIC: NGO")
LIC finds no takers among ARCs for Rs 3,400-crore Reliance Capital bonds
Multiple sources said ARCs did not find the option to buy bonds of the bankrupt firm attractive and decided to give it a miss
 "LIC finds no takers among ARCs for Rs 3,400-crore Reliance Capital bonds")
Lenders extends timeline for Reliance Capital resolution by 2 months to Nov
According to the sources, the timelines for resolution process completion and resolution plan submission have been extended due to the cold response from the bidders
Tatas exit race to buy Reliance Capital's general insurance arm
Group only interested in general insurance, but lenders want firms to bid for entire cluster of companies
 "Tatas exit race to buy Reliance Capital's general insurance arm")
Piramal Group not eligible to acquire Reliance Capital, says Irdai
Group has promoter stake in Pramerica Life Insurance
RCL may share RFRP with bidder by Wed; all cash bids to get highest score
RCL had offered two options to all the bidders
 "RCL may share RFRP with bidder by Wed; all cash bids to get highest score")
Credit Suisse and Axis Bank move NCLT against RCap, Administrator
The lenders want recognition as firm's financial creditors, and inclusion in CoC as part of RCap's corporate insolvency resolution proceedings. Administrator has admitted claims worth Rs 23,666 cr
 "Credit Suisse and Axis Bank move NCLT against RCap, Administrator")
Reliance Capital debt resolution may be delayed over subsidiaries
Options of settling the finances of eight units of Reliance Capital that are financially sound leads to disagreement between bidders and administrator.
Jindal Power in race to buy RCap, Srei in bid to enter financial services
Jindal Power was hived off from its listed parent, Jindal Steel and Power last year to the promoter family and has been bidding for various bankrupt entities since
 "Jindal Power in race to buy RCap, Srei in bid to enter financial services")
SC to choose between Sebi, RBI circulars for stressed assets' resolution
The issue gains importance as Sebi wants its circular on ISIN-level voting---issued in October 2020-to be applied to cases such as Reliance Capital and SREI
 "SC to choose between Sebi, RBI circulars for stressed assets' resolution")
