State Bank of India (SBI)-led consortium of lenders of have invited fresh expressions of interest (EoIs) for debt-ridden Videocon Industries group, the company informed the stock exchanges.
The move comes after a higher insolvency tribunal rejected an approved bid worth Rs 2,692 crore by Vedanta Chairman Anil Agarwal-promoted Twin Star Technologies earlier this month.
Pursuant to the order of the National Company Law Appellate Tribunal (NCLAT), the consolidated Committee of Creditors (CoC) of Videocon Industries and 12 other group companies has "decided to re-invite fresh expressions of interest for submission of resolution plan, Videocon Industries said.
"The last date for receipt of expressions of interest (EOIs) is February 2, 2022," said Videocon Industries while updating the exchanges on Wednesday.
In December 2020, lenders approved Twin Star’s plan with a majority voting share.
Last year in June, a Mumbai bench of insolvency tribunal expressed surprise over the similarity between the bid value offered by Twin Star and the liquidation value of the target firm Videocon Industries, which was estimated at Rs 2,568 crore.
Twin Star's Rs 2,692-crore resolution plan to acquire Videocon Industries’ 13 group firms provided a 95% haircut against Videocon Group’s total admitted claims of Rs 64,637.6 crore.
Videocon Industries was controlled by Venugopal Dhoot and his family before lenders dragged it to the NCLT in December 2017 to become among the first 12 companies pushed into bankruptcy and admitted in June 2018.
The NCLT had in August 2019 consolidated insolvency process for the 13 group companies - Videocon Industries, Value Industries, Applicomp, CE India, Century Appliances, Electroworld Digital Solutions, Evans Fraser & Co, Millennium Appliances, PE Electronics, SKY Appliances, Techno Electronics, Techno Kart, Value Industries and Videocon Telecom.
Insolvency for two other Videocon companies - KAIL Ltd and Trend Electronics - were conducted independently.
