NCLAT upholds JSW Steel's bid for Bhushan Power and Steel

ANI | Updated: Feb 04, 2019 17:16 IST

New Delhi, Feb 4 (ANI): The National Company Law Appellate Tribunal (NCLAT) on Monday upheld JSW Steel's bid for Bhushan Power and Steel Limited, valued at Rs 19,700 crore.
JSW Steel had surged ahead in its bid to acquire the stressed asset with the Tatas unwilling to raise their original offer.
Tatas had legally contested the lenders’ decision to allow JSW Steel to alter parameters of its bid. In the process, JSW Steel got to improve its bid twice after the Tatas were declared the highest bidder.
On December 20, the NCLAT reserved its order on Bhushan Power and Steel, and directed both JSW Steel and Tata Steel to file written submissions.
The committee of creditors approved the plan of JSW Steel by 97.12 per cent votes.
Tata Steel had put in an offer of Rs 17,000 crore for Bhushan Power and Steel which made it the highest bidder in the initial round when JSW had bid Rs 11,000 crore.
Bhushan Power and Steel had piled up a debt of more than Rs 47,000 crore from a consortium of banks led by Punjab National Bank before it was admitted to the National Company Law Tribunal for initiation of the insolvency resolution process.
It is one of the 12 large companies identified by the Reserve Bank of India for early resolution. The company operates a 3.5 million tonne steel plant in Odisha. (ANI)