Binani Cement’s resolution professional postpones lenders’ meet

Suresh P Iyengar Mumbai | Updated on May 23, 2018

The Resolution Professional of Binani Cement has postponed the meeting of Committee of Creditors, bidders, promoters and all interested parties, which was earlier scheduled for Thursday.

The meeting was called as per NCLT direction to consider the revised bid of ₹7,965 crore placed by UltraTech Cement and direct Dalmia Bharat to better its bid to match that of UltraTech or exit the proceedings.

However, the Resolution Professional in a communication said the plan in the format acceptable to the CoC is still being negotiated and verification of the 109 new claims received post March 14, 2018, has been completed on May 22.

“The requirement for circulation of Agenda Notice and supporting papers at least 24 hours before the meeting is not possible, hence, I am postponing the meeting and will revert with the new date," said the RP.

On Tuesday, hearing a petition filed by Dalmia Bharat, the National Company Law Appellate Tribunal allowed the CoC of Binani Cement to consider the revised bid of UltraTech Cement or that of Dalmi Bharat, if it is revised and place it before NCLT. The final decision will be subject to the verdict of NCLAT, which has posted the next hearing on July 10.

The CoC had already given ultimatum to Dalmia Bharat, which was declared the highest bidder for Binani Cement stressed asset, to better the bid placed by UltraTech before the Thursday meeting or exit. Increasing the bid is unlikely to help Dalmia Bharat as UltraTech Cement will also be given an opportunity to revise its bid further, said sources.

Meanwhile, it is learnt that Dalmia Bharat is unlikely to match UltraTech bid but continue to pursue legal option to establish its claim. The company has the option to move the NCLAT and then the Supreme Court.

Dalmia Bharat Group-led consortium Rajputana Properties bid is lower by at least ₹1,200 crore compared to that of UltraTech.

Published on May 23, 2018

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