Adani, Tata AIG, ICICI Lombard among 54 outstanding bidders for Reliance Capital

Adani, Tata AIG, ICICI Lombard among 54 outstanding bidders for Reliance Capital-reviews

by Er kamalanathan j

Adani Finserve, ICICI Lombard, Tata AIG, HDFC Ergo, and Nippon Life Insurance are some of the fifty four prominent firms which have expressed interest to acquire debt-ridden Reliance Capital Ltd, promoted by the Anil Ambani Group, sources stated. 

The remaining date for submission of bids for the debt-ridden company have been prolonged to March 25 from March 11 in advance through the Reserve Bank-appointed administrator. 

Other bidders encompass Yes Bank, Bandhan Financial Holdings, Cholamandam Investment, Oak Tree Capital, Blackstone, Brookfield, TPG, KKR, Piramal Finance and Poona Wala Finance, assets said. 

The cut-off date was prolonged at the request of a few potential bidders who had sought extra time to put up the Expressions of Interest (EoI), sources stated. 

The Reserve Bank of India (RBI) had on November 29 ultimate year superseded the board of Reliance Capital Ltd (RCL) in view of charge defaults and serious governance issues. 

This is the 1/3 huge non-banking financial employer (NBFC) towards which the central bank has initiated bankruptcy proceedings underneath the Insolvency and Bankruptcy Code (IBC) recently. 

The different  were Srei Group NBFC and Dewan Housing Finance Corporation (DHFL). 

According to the sources, a majority of the bidders, who've submitted EOIs, have bid for the whole corporation, while the others have bid for one or more subsidiaries of RCL. 

The bidders had two options - either they may bid for the whole RCL or someone or extra than one of the subsidiaries of Reliance Capital. Reliance Capital's subsidiaries consist of Reliance General Insurance, Reliance Nippon Life Insurance, Reliance Securities, Reliance Asset Reconstruction Company, Reliance Home Finance and Reliance Commercial Finance. 

Following the takeover of the board, the RBI appointed Nagasawa Rao Y as the administrator in terms of the Corporate Insolvency Resolution Process (CIRP) of the employer. 

RBI sooner or later filed an application for initiation of CIRP against the organization on the Mumbai bench of the National Company Law Tribunal (NCLT). 

Earlier in February this year, the RBI-appointed administrator had invited expressions of interest (Elois) on the market of Reliance Capital. 

In September, RCL in its annual fashionable assembly (AGM) had informed shareholders that the organization's consolidated debt was ₹40,000 crore.  It had stated narrowing of its consolidated net loss to ₹1,759 crore inside the quarter ended December 2021. 

The employer had posted a internet loss of ₹3,966 crore inside the identical quarter a year in the past. 

However, net loss widened from ₹1,156 crore in the previous quarter ended September 2021. Total earnings of the enterprise stood at ₹4,083 crore in Q3FY22, down from ₹four,890 crore in Q3FY21. 

RCL changed into included on March 5, 1986 and is registered as Non-Banking Financial Company Core Investment Company (CIC)-Non-Deposit Taking Systemically Important (NBFC-CIC-ND-SI) below the Reserve Bank of India Act, 1934. This tale has been posted from a cord organization feed with out changes to the textual content.

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