The seven-member government appointed board of IL&FS has selected two financial and transactions advisors and a restructuring advisor for developing and executing a resolution plan for the debt-laden company. The selection was made after evaluating investment banks and advisory firms.
Arpwood Capital Pvt Ltd and JM Financial Consultants Pvt Ltd have been selected as financial and transaction advisors to the IL&FS Group. Alvarez & Marsal has been appointed as a restructuring advisor.
Arpwood Capital and JM Financial Consultants, along with other advisors, if any will be advising the IL&FS board on solutions towards resolution of IL&FS crisis. They will also undertake valuations across disinvestmentand monetisation of assets.
Alvarez & Marsal will assist the board in maintaining strict controls and on managing liquidity on a day-to-day basis at all levels. It will also evolve a resolution plan.
The IL&FS board, at its meeting last week, considered it important to harmonise all asset monetisation activities, including ongoing initiatives, and to undertake them in a transparent and speedy manner to optimise the interest of different stakeholders.
IL&FS’ previous board, at its meeting on August 29, had approved the company’s specific asset divestment plan based on which IL&FS expects to reduce its overall debt by Rs 30,000 crore.
Out of a portfolio of 25 projects identified for sale, firm offers have already been received for 14 projects, the company had then said in a statement. IL&FS expects to complete its divestment plan over the next 12 to 18 months in a systematic and professional way to fulfil its commitments
Pursuant to the orders of the National Company Law Tribunal (Mumbai), on an application by the Ministry of Corporate Affairs, dated October 1, 2018 and October 3, 2018, the board of IL&FS was reconstituted and Uday Kotak, Vineet Nayyar, G.N Bajpai, G C Chaturvedi, Malini Shankar, Nand Kishore and C S Rajan were appointed as the directors of the company.