The NCLT has allowed an application by Sreiadministrator Rajneesh Sharma for more time to complete the corporate insolvency resolution process (CIRP) of Srei Infrastructure Finance (SIFL) and Srei EquipmentFinance (SEFL) — with National Asset Reconstruction Co. Ltd (NARCL) entering into the race for the two non-bank finance companies.
In a stock exchange filing on Thursday, Srei said that the Calcutta bench of the NCLT has extended the time to complete the exercise to January 5,2023. The earlier deadline was November 3.
The administrator sought time after the committee of creditors received expressions of interest from three serious participants.
The expression of interest from NARCL was received on October 17, 2022. “Pursuant to the discussion in the 22nd CoC meeting (held as 19th consolidated CoC meeting), the name of National Asset Reconstruction Company Limited has been included in the final list of Prospective Resolution Applicants for SIFL and SEFL,” the administrator said.
The last date for submission of resolution plans is November 15, 2022.
NARCL joins Arcelor Mittal (AM Mining India PrivateLimited) and Capri GlobalHoldings Private Limited as late entrants whose EoIs were received on September 27 and October 14 respectively. The addition of these three expands the total number of prospective resolution applicants to 16, but sources said that thelate entrants are among the serious bidders.
The insolvency proceedings against the Srei groupNBFCs commenced on October 2021, after the insolvency petitions filed by Reserve Bank of India were approved by the Calcutta bench of NCLT.
The total admitted claims of the financial creditors of the two NBFCs are Rs 32,750.22 crore.