NBCC i.e. National Building Construction company which is a state-owned firm and four other companies including Kotak Investment, L&T Infrastructure, Singapore-based Cube Highways and Suraksha group have submitted Express of Interest [EoI] to buy the insolvent Jaypee Infratech. This debt-ridden company is currently dealing with bankruptcy procedure in National Company Law Tribunal [NCLT].
In October, Anuj Jain, Jaypee Infratech’s Interim Resolution Professional [IRP] commenced a fresh initiative to revive Jaypee Infratech on NCLT’s direction after lenders rejected over Rs 7,000 crore bid of Suraksha group. Jain also invited Expression of Interest [EoI] from companies to submit a resolution plan to revive Jaypee Infratech Ltd (JIL), which has many stuck housing projects in Noida and Greater Noida.
JIL said that the Interim Resolution Professional has received EoI from five companies till now. Out of the five companies, L&T Infrastructure Development Projects is only interested in 165-km Yamuna Expressway and not for the development of land parcels attached to the expressway belonging to JIL.
The state-owned NBCC has submitted the EoI for submitting a resolution plan for JIL and the company has been provisionally shortlisted by IRP of JIL as prospective resolution applicant. Suraksha Asset Reconstruction has shown interest along with its entities Lakshdeep Investments and Finance and Suraksha Realty.
In 2017, the National Company Law Tribunal (NCLT) had admitted the application by an IDBI Bank-led consortium, seeking resolution for JIL under the Insolvency and Bankruptcy Code. The tribunal had appointed Anuj Jain as IRP to manage the Jaypee Infratech’s business and he is also held responsible to invite bids from the investors who are interested in acquiring JIL and in the completion of the residential projects that are stuck midway in Noida and Greater Noida locales.
JIL, a sister company of Jaypee Group’s flagship firm Jaiprakash Associates, and is responsible to construct about 32,000 flats, out of which they have delivered 9,500 units. The Jaiprakash Associates had submitted Rs 750 crores in the registry of the Supreme Court to refund amount to buyers. However, this amount has now been transferred to NCLT as per the order of the apex court that has now directed to start a fresh bidding process.
Recently, lenders of JIL have rejected a proposal to appoint Vijaykumar V Iyer as new resolution professional. The Committee of Creditors (CoC) of JIL had met on October 17 to vote on various proposals.