RIL-ACRE, WELSPUN leading contenders to acquire Sintex Industries

11 January 2022, Mumbai:

Both bids are conditional; the firm offers that RP asks bidders to submit unconditional resolution plans.

Race For Bankrupt Co
The marginal difference between offers by Reliance-ACRE and Welspun.

Reliance Industries Ltd (RIL) and Welspun are the leading contenders to acquire bankrupt Sintex Industries, said people with knowledge of the matter. RIL, in partnership with Assets Care & Reconstruction Enterprise (ACRE), has offered a 2,863 crore resolution plan that includes 10% equity to lenders, they said.

Reliance Industries-ACRE and Welspun Group unit Easygo Textile Pvt Ltd are the two highest bidders among the four-firm offers that lenders have received for the textile-cum-yarn making company.

"There is a marginal difference between the offers made by Reliance Industries-ACRE team and Welspun Group," one of the persons said. "Both are highest but conditional. It is difficult to assess which of the two plans is better."

Resolution professional Pinakin Shah has asked the two highest bidders to resubmit revised unconditional resolution plans said the people cited above.

The RIL offer includes payment of 2,280 crores to financial creditors, equity infusion of 500 crores for working capital requirements, and an 83 crores payment to employees and trade creditors, one of the persons said.

RP has admitted 37,534.6 cr claims from 27 financial creditors.

SOURCE: ET dt 11-02-2022

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