NBCC bid for Jaypee Infratech resolution gets 97.36% votes1 min read . Updated: 17 Dec 2019, 02:03 PM IST
- As many as 13 banks and over 23,000 homebuyers have voting rights in the CoC
- The Committee of Creditors had decided to put to vote the offers of both NBCC and private sector firm Suraksha Realty to acquire Jaypee Infratech
New Delhi: The e-voting on bids to acquire assets of insolvent Jaypee Infratech ended on Monday, with 97.36% of homebuyers and lenders, including IDBI Bank, voting in favour of state-owned NBCC’s offer. Buyers had 58% votes and rest lied with bankers. 66% votes were required for a bid to be approved.
The Committee of Creditors (CoC), in its meeting on 7 December, had decided to put to vote the offers of both NBCC Ltd and private sector firm Suraksha Realty to acquire the bankrupt realty firm. The e-voting had begun on 10 December.
As many as 13 banks and over 23,000 homebuyers have voting rights in the CoC. Homebuyers’ claim amounting to over ₹13,000 crore has been admitted, while banks’ claim is worth ₹9,800 crore. This is the third round of bidding process, initiated on the direction of the Supreme Court.
The apex court on 6 November had directed the NBCC and Suraksha Realty to submit revised bids and said the resolution process of Jaypee should be completed within 90 days.
In its latest bid, Suraksha Realty offered ₹190-crore cash and 2,320-acre land to lenders. NBCC offered 1,526 acre of land to lenders. On the Yamuna Expressway, NBCC has proposed to transfer the road asset to lenders but before that it would take loan of around ₹2,500 crore against toll revenue to fund construction spend. Suraksha will keep the expressway.
For homebuyers, NBCC has offered completing the construction of about 20,000 flats in three and half years, while Suraksha offered to do it in three years.
Suraksha Realty had also kept aside ₹250 crore worth of land for paying penalty to homebuyers for past delays. NBCC has offered to infuse ₹120 crore in Jaypee Infratech, while Suraksha has offered ₹25 crore as equity.
Jaypee Infratech, a subsidiary of crisis-hit Jaiprakash Associates, went into insolvency process in August 2017 after the National Company Law Tribunal admitted an application by an IDBI Bank-led consortium.