Big Win For Adani Good Homes! NCLT Approves Adani’s Sole Bid For Radius Estate At More Than 90% Discount
January 13, 2023: New Delhi: In a victory for Adani Good Homes, the National Company Law Tribunal (NCLT) has cleared its sole bid for Radius Estates & Developers Pvt Ltd. At a 98 percent discount to what creditors of the insolvent company were asking for.
The bid became controversial due to opposition from a section of the company’s creditors, which includes ICICI Prudential Venture Capital Fund and Beacon Trusteeship.
They held the company’s debentures on behalf of investors and opposed Adani’s Radius bid citing foul play, the Economic Times said, citing people familiar with the matter.
According to ICICI Prudential Venture Capital Fund and Beacon Trusteeship, Radius’ resolution professional Jayesh Sangharajaka conspired with the largest creditor HDFC to swing the bankruptcy proceedings in favor of Adani Good Homes.
The NLCT, in a hearing in November, rejected these claims, saying “suspicion, however strong, is no substitute for proof.” Further, the Tribunal found no evidence in support of the claim of the debenture holders.
The financial creditors of Radius Estate, who have a total of Rs. 1,700 crore of outstanding loans, they were offered by Adani Good Homes only Rs. 76 crore was offered, amounting to a 96 per cent haircut for creditors.
Meanwhile, Adani has promised to build residential projects in Mumbai at no extra cost to home owners.
In addition, the recipient will pay RADIUS customers by June 2024 Rs. It has also promised to deliver 700 luxury apartments worth over 800 crores.
The project that Adani can acquire with this winning bid is Ten BKC (Bandra Kurla Complex), located in Mumbai’s New Financial District.
The project is spread over 5 acres and when completed will generate an income of Rs. 2,500 billion, Bloomberg said, citing a person familiar with the development.
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