- Tag results for Essar Steel
Production in Essar Steel plant was affected on Friday as hundreds of workers staged dharna protesting illegal termination of workers and non-fulfilment of various demands.
The Committee of Creditors have issued ArcelorMittal and its partner Japan's Nippon Steel & Sumitomo Metal Corp a Letter of Intent (LoI) declaring them as the "successful applicant".
The offer is better than Rs 42,202 crore offered by the world's largest steel producer ArcelorMittal to take over Essar Steel, which lenders are auctioning to recover their unpaid dues of over Rs 49,0
The dramatic move from Essar Steel comes even as the CoC of the debt-laden firm had declared ArcelorMittal as the highest bidder in the auction for the steel company.
Last week, the Luxembourg-based company had emerged as the highest or H1 bidder for the debt-laden Essar Steel.
THE Committee of Creditors (CoC) of Essar Steel have picked ArcelorMittal as the winning bid for the insolvent company, said reports on Friday.
The apex court held that both the firms were ineligible under amended Insolvency and Bankruptcy Code to bid for the firm but granted them a fresh opportunity.
ArcelorMittal and Numetal are in the race to acquire Essar Steel, currently undergoing insolvency proceedings as it owes more than Rs 45,000 crore to over 30 banks.
ArcelorMittal, which is competing against Russia's VTB Group-backed Numetal Ltd and Vedanta for the takeover of Essar Steel, on September 15 wrote a hard-hitting letter.
The apex court refused urgent hearing for ArcelorMittal's plea for payment of Rs 7,000 crore by today for its second bid to become eligible.
The revised offer also includes a commitment to pay Rs 7,000 crore dues to the financial creditors of Uttam Galva and KSS Petron to be eligible in the race to acquire Essar Steel.
Friday’s NCLAT order has prompted bankers like SBI to halt their proposed Essar debt sale process to asset reconstruction companies, in the hope of reaping better returns for investment.
The NCLAT held that NuMetal was not related to promoters of Essar Steel and so was eligible for submitted a resolution plan for the company.
Jagatsinghpur district administration on Tuesday clamped prohibitory orders under Section 144 of CrPC at Essar factory’s main gate to prevent any untoward incident.
ArcelorMittal wanted NuMetal bid be rejected because its backers include a company controlled by the son of a billionaire Essar Steel founder.