Hinduja Group will buy Reliance Capital: NCLT approved the acquisition of IIHL, bid for ₹ 9,861 crore in July last year
Hinduja Group will buy Anil Ambani’s bankrupt company Reliance Capital. The National Company Law Tribunal (NCLT) on Tuesday i.e. today has approved the acquisition of Reliance Capital by Hinduja Group’s IndusInd International Holdings Limited (IIHL).
Anil Ambani’s company has given this information in its stock exchange filing. However, no information regarding financial details has been given by the company. The tribunal had reserved its decision on this matter on January 11.
Order given under insolvency resolution process
The Bankruptcy Court of Mumbai has approved the acquisition proposal of IIHL through the insolvency resolution process. According to the Economic Times, a division bench of Justice Virendra Singh Bisht and Technical Member Prabhat Kumar approved the plan in an oral order. Detail order is still awaited.
IIHL had bid ₹9,861 crore in July last year
In July last year, IIHL had bid ₹9,861 crore to acquire Reliance Capital, which was later approved by the administrator. The bid also received overwhelming support from creditors, with 99% of the votes cast in favor of the bid.
At the same time, Torrent Investments had bid during the bankruptcy auction of Reliance Capital in December 2022 with an offer of Rs 8,640 crore.
RBI dissolved the board of Reliance Capital in November 2021
In November 2021, the Reserve Bank of India (RBI) dissolved the board of directors of Reliance Capital and removed it in view of payment defaults and serious governance issues. In November 2019, the tribunal had allowed an application to initiate insolvency proceedings against the debt-ridden financier.
