Mumbai: The National Company Law Tribunal has remanded the resolution plan submitted by Sarda Energy and Mining to the lenders of SKS Power Generation (Chhattisgarh) Ltd.
The development comes after counsel for the resolution professional of SKS filed an application for the approval of the resolution plan submitted by Nagpur-based Sarda Energy, the successful resolution applicant.
The tribunal’s decision comes as a fresh roadblock for the resolution of the company, said a lawyer aware of the matter.
“The longer the delay in the approval of a resolution plan, the deeper the wounds inflicted upon the company and its stakeholders.” said Akshat Khetan, founder of AU Corporate Advisory and Legal Services, Mumbai.
In April 2022, the corporate insolvency resolution process of SKS was initiated after the lenders approached the NCLT.
The power company owes SBI and Bank of Baroda ₹1,890 crore.
Earlier, larger conglomerates including Adani and Reliance had evinced interest in the company. The two, however, did not submit revised bids.
Besides these, NTPC, Jindal Power, Torrent Power and Singapore-based Vantage Point Asset Management Company were among those interested in taking over SKS.
Sarda Energy had submitted a bid of more than ₹1,000 crore.
“Exciting news! Mint is now on WhatsApp Channels 🚀 Subscribe today by clicking the link and stay updated with the latest financial insights!” Click here!
Download The Mint News App to get Daily Market Updates & Live Business News.
Updated: 07 Oct 2023, 05:06 AM IST