The three bids submitted by resolution applicants for the Srei group entities are likely to be put to vote for creditors’ approval on January 13.

According to sources privy to development, the consolidated committee of creditors (CoC) is likely to have a meeting on January 11 to have a final discussion regarding the resolution plans submitted by National Asset Reconstruction Company (NARCL), Authum Investment and Infrastructure and the consortium of Varde Partners and Arena Investors under the challenge mechanism process.  

It is to be noted that the plan submitted by the consortium of Varde Partners and Arena Investors adhering to the challenge mechanism process, as advised by the administrator, was opened on Monday and was found to be “compliant”, sources said.

The administrator for Srei group entities had recently dismissed the allegations raised by the consortium over the challenge mechanism process adopted for resolution and had shot out a letter stating that the revised plan submitted after the challenge mechanism was “non-compliant”.

Accordingly, the administrator had asked the consortium to submit a resolution plan for two Srei companies as per the challenge mechanism process. The consortium was allowed time till midnight of Saturday to submit a financial bid compliant with the rules of request for resolution plan (RFRP) under the corporate insolvency resolution process for the two insolvent companies.

“The Varde-Arena consortium is now back in the fray after submitting the plan which is compliant with the challenge mechanism. A CoC meet is scheduled on January 11 for final discussion on the three resolution plans. All the three plans are likely to be put on vote for CoC’s approval by January 13,” the source said on conditions of anonymity.

The consortium’s financial bid in terms of net present value (NPV) stood at around ₹4,680 crore, including ₹3,250 crore upfront cash amount. After the challenge mechanism process ended, NARCL’s offer of ₹5,555 crore in NPV terms, which includes upfront cash of Rs 3,180 crore, was found to be the highest. Authum Investment and Infrastructure’s bid of Rs 5,526 crore, in NPV terms, was adjudged the second-highest during the process.