Ruias last-minute googly for Essar Steel! Offer to clear dues after 14 months, want IBC process withdrawn

The Ruias, promoters of the Essar Steel, have thrown a last-minute googly in the bankruptcy case by making an offer to clear lenders’ dues after nearly 14 months.
The Ruias, promoters of the Essar Steel, have thrown a googly in the bankruptcy case by making an offer to clear lenders' dues after nearly 14 months.

The Ruias, promoters of the Essar Steel, have thrown a googly in the bankruptcy case by making an offer to clear lenders’ dues after nearly 14 months. The Ruias are offering Rs 54,389 crore against the outstanding dues of Rs 49,000 crore to lenders in return for the withdrawal of the case from the Insolvency and Bankruptcy Code (IBC), TV news reports said.

The offer made by the Ruia family trumps the ArcelorMittal bid of Rs 50,000 crore. However, it is now up to the lenders to decide whether they want to go ahead with the Ruias’ better offer by withdrawing from the IBC process or want to continue with it and evaluate bids of other companies or will give chance to other companies to trump the new offer.

Essar Steel was one of the twelve big NPA accounts identified by the Reserve Bank of India (RBI) for immediate resolution.

 

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