Hinduja Group’s IndusInd International Holdings has sought a 90-day extension from the National Company Law Tribunal for the implementation of the resolution plan for Reliance Capital.

“This is to inform the stakeholders that an application under Section 60(5) of the Insolvency and Bankruptcy Code, 2016, read with Rule 11 of the National Company Law Tribunal Rules, 2016 for seeking an extension of 90 days from May 27, 2024 for the implementation of the Approved Resolution Plan was filed before the NCLT by the Successful Resolution Applicant,” the company notified the exchanges.

NCLT heard the extension application on May 22 and the final order is awaited, it added.

The Mumbai Bench of the NCLT, had in February, approved the resolution plan submitted by IndusInd International. The deadline for implementation of the plan is May 27.

Pending RBI nod

The extension has been sought pending approval from the Reserve Bank of India on the proposed corporate restructuring of implementing entities. RBI had, in November 2023, approved the original plan of transfer of control of Reliance Capital to IIHL BFSI, subject to a six-month validity ending May 17.

The original plan had proposed two implementing entities-IIHL BFSI (India) Ltd and Aasia Enterprises LLP, wherein, RCap’s entire shareholding was to be transferred to holding company IIHL BFSI (India), and certain assets held by RCap were to be transferred to Aasia.

As per the new proposed structure, Cyqure India Private Ltd will have four Hinduja Group partners and hold majority stake in Aasia Enterprises. Ecopolis Properties and Cyqurex Technologies will be set up as wholly-owned subsidiaries of Aasia, whereas IIHL BFSI Holding will be a wholly-owned arm of IIHL.

Meanwhile, the Hinduja Group received the long-pending approval from IRDAI on May 10, valid for three months. The acquisition of RCap includes the takeover of Reliance Capital’s insurance arms - -wholly-owned subsidiary Reliance General Insurance and 51:49 JV with Nippon Life, Reliance Nippon Life Insurance. The insurance regulator cleared the transfer of RCap’s 26 per cent stake in Reliance Nippon Life to Aasia Enterprises, post which all three will become promoter entities.