TataCliq CPA IN

Essar Group, Tatas bid to acquire Essar Steel

Top global players including Tata Steel, Essar Group and ArcelorMittal are learnt to have submitted bids to acquire debt—laden Essar Steel which is going through the insolvency resolution process.

Flipkart IN

Essar Steel India Ltd., an integrated steel producer with an installed capacity of 10 million tonne per annum (MTPA), is undergoing Corporate Insolvency Resolution Process (CIRP) under the provisions of Insolvency and Bankruptcy Code.

The expression of interest (EoIAn expression of interest (EOI) is an informal offer made by a strategic or financial buyer for the purchase of a business. The primary purpose is to suggest a valuation range that a buyer is willing to pay for a company. Investment bankers usually request an EOI in their bidding process to separate all potential buyers into a smaller, more... More) for the company was invited by October 23.

“Essar Group has submitted EoIAn expression of interest (EOI) is an informal offer made by a strategic or financial buyer for the purchase of a business. The primary purpose is to suggest a valuation range that a buyer is willing to pay for a company. Investment bankers usually request an EOI in their bidding process to separate all potential buyers into a smaller, more... More for Essar Steel. A resolution plan will be submitted to IRP within the scheduled time frame,” an Essar Group spokesperson said.

Asked about the rationale for bidding, the spokesperson said IBC allows promoters to bid for their company at the NCLTNational Company Law Tribunal.  The Central Government has constituted National Company Law Tribunal (NCLT) under section 408 of the Companies Act, 2013 (18 of 2013) w.e.f. 01st June 2016. In the first phase the Ministry of Corporate Affairs have set up eleven Benches, one Principal Bench at New Delhi and one each Regional Benches at New Delhi, Ahmedabad, Allahabad, Bengaluru,... More and there are no limitations.

PTI

Leave a Reply