The bankruptcy proceedings of Future Retail Ltd under the Insolvency and Bankruptcy Code (IBC) has been extended by 90 days to April 16, 2023 for completion.
The resolution professional sought and obtained the approval of lenders and applied to the Mumbai Bench of the National Company Law Tribunal, for extending the timeline, under Section 12 of IBC, the company said in an exchange filing.
Bankruptcy proceedings are supposed to be completed within a period of 180 days from the date of admission and can only be extended for a further period not exceeding 90 days if the committee of creditors approves through a 75 per cent majority of voting shares.
Insolvency proceedings against Future Retail commenced on July 20, last year. Exactly six months have passed and bankruptcy proceedings are still in the initial stages with expressions of interest being received from 13 parties, that include Reliance Retail Ventures and the Adani Group.
Another company in the Kishore Biyani-owned group, Future Supply Chain Solutions, was admitted to insolvency proceedings earlier this month while Future Lifestyle Fashions is a defaulter in the payment of loans worth ₹1,466 crore as on Dec 31, 2022 and has dues over ₹1,800 crore to banks and holders of its debt securities.