The company has repaid of 387.92 crore as part of the Sankalp Yojana approved by the National Company Law Tribunal (NCLT), Mumbai, which is in March in March under Section 230 and 232 of the Companies Act, which allows companies to restructure loans and compromise with creditors through the process of court-monitor outside insolvency and insolvency.
The approved scheme provides financial creditors for a complete and final settlement of ₹ 464 crore to financial creditors including State Bank, ICICI Bank, Axis Bank, HDFC Bank, HDFC Bank, Punjab National Bank, Union Bank of India, Bank of India and JM Financial Asset Records Company.
Among the total amount, 183.29 crore was raised through mudification of assets owned by the company and its promoters. Another .2 147.23 crore preferential allocation of equity stocks brought new and current investors, including promoter contribution. An additional. 4 133.48 crore was paid especially through the mudlization of the assets charged to some lenders who released their claims after the receipt.
While a part of non-fund-based liabilities, mainly bank guarantees, remains pending, the company is expected to address them in the coming weeks.
MDP Associates represented SIIL, leading the management of Manager Ashok Paranjpe and partner Radhika Dixit with the transaction team. Sarf and partners, led by partner Satyadarshi Kunal, represented the lenders, with the support of their team.
To facilitate disposal and ensure structured repayment, SIIL and lenders entered nine escrow agreements, resulting in 11 transactions ascro accounts. State Bank of India worked as an Escro agent, while SBICAP Trustee Company served as the Escro documentation agent. The accounts invited the asset sale and equity issuing and the creditors were paid as per the plan.
Objections on the scheme were initially raised by ICICI Bank, SRS Private Investment Powai and Central GST and Central Excise Departments. ICICI Bank later withdrew its objection after an agreement, while the tribunal clarified that the claims of the GST department were out of the purview of the scheme.
