Now Reading: Reliance Capital lenders face 43% recovery under Hinduja offer
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Reliance Capital lenders face 43% recovery under Hinduja offer
Lenders to Anil Ambani-promoted Reliance Capital are likely to recover about Rs 10,090 crore under the Hinduja Group’s offer, The Economic Times reports. The amount includes Rs 9,650 crore offered by IndusInd…
The Story in Brief
Lenders to Anil Ambani-promoted Reliance Capital are likely to recover about Rs 10,090 crore under the Hinduja Group’s offer, The Economic Times reports. The amount includes Rs 9,650 crore offered by IndusInd International Holdings and around Rs 430 crore in the company’s cash balances. It equals roughly 43% of the Rs 23,666 crore admitted claims of verified creditors.
The recovery is below the estimated liquidation value of Rs 12,500 crore to Rs 13,000 crore. Hinduja increased its offer by Rs 10 crore during bilateral negotiations, according to the report. Its detailed resolution plan is expected next week, but approval will require a 66% creditor vote and the Supreme Court’s decision on an auction-related dispute, scheduled for August.
The Indian Opinion
The easy narrative is that lenders have simply lost more than half their money, or that Hinduja has secured a bargain without scrutiny. Both claims need care. The figure is based on admitted claims, while liquidation value is an estimate, not a guaranteed payout. LIC, EPFO and JC Flowers will have a major say, and the court dispute could still alter the process. The decisive test is whether creditors representing at least 66% of the voting share approve the plan.
Source: economictimes.indiatimes.com
This story was synthesised by AI from the source linked above.
