JAYPEE INFRA INSOLVENCY: SURAKSHA PUTS IN BID JUST BEFORE LENDERS’ MEET

Suraksha group on Monday submitted “improved revised” bid to acquire debtladen Jaypee Infratech Ltd (JIL), offering more funds to banks while reducing timeline to complete some stalled projects for the benefit of homebuyers. The Mumbai-based firm, which is pitted against NBCC to acquire JIL, did not submit its resolution plan on June 4 and rather sought at least seven days extension to sweeten its offer for both homebuyers and bankers. NBCC, however, submitted its resolution plan.

According to sources, Suraksha group has submitted its resolution plan just before the meeting of JIL’S creditors panel scheduled for Monday. It has requested that JIL’S Committee of Creditors (COC) should consider its bid during the meeting.

Now, it is up to financial creditors, which includes homebuyers which have around 56 per cent voting share in the COC, to decide whether Suraksha’s bid will be considered or not as the same has been submitted after the June 4 deadline.

According to sources, Suraksha group had offered more than 2,600 acre land to institutional financial creditors in its last bid submitted on May 18. Improving the offer, Suraksha has now promised to issue NCDS (non-convertible debentures) worth ₹1,200 crore to banks, taking its total offer to nearly ₹7,800 crore. For homebuyers, the company has reduced the timeline of completion of some projects, wherever feasible.

Moreover, Suraksha group will immediately infuse ₹300 crore if its bid is approved by the COC to ensure construction works do not hamper till the resolution plan gets approved by National Company Law Tribunal (NCLT). In a letter to Interim Resolution Plan (IRP) Anuj Jain, Suraksha group on June 4 asserted that it had already submitted a legally compliant resolution plan on May 18 and the bid was deliberated upon in the meeting of the COC.