NCLAT stays Anil Agarwal's Twin Star bid to acquire Videocon

NCLAT stays Anil Agarwal's Twin Star bid to acquire Videocon

Business Desk: The National Company Law Appellate Tribunal (NCLAT) has stayed the Rs 2,962.02 crore bid by industrialist Anil Agarwal's company Twin Star Technologies to acquire debt-ridden Videocon Industries. A two-member bench headed by NCLAT Acting Chairman Justice AIS Cheema stayed the order passed by the Mumbai bench of the National Company Law Tribunal (NCLT) on June 9 in this regard.

This decision of NCLAT has been taken by two aggrieved lenders Bank of Maharashtra and IFCI Ltd. came on the petitions of The petitioner companies had raised the possibility of a possible breach of confidentiality of the liquidation value during the insolvency process of Videocon Industries. The NCLT in its June 9 order had said that the value of 13 Videocon group companies and resolution plan were surprisingly close. 

The
NCLAT also mentioned that the NCLT in its order had concluded that under the resolution plan of Twin Star, about 90 to 96 per cent of the total debt would suffer loss. Under this scheme, Rs 2,900 crore is proposed to be given against the liability of Rs 65,000 crore. In this way, there will be a loss of about Rs 62,100 crore. In such a situation, the financial lenders will get only five to ten percent of their dues. 

Next hearing on September 7 The
Appellate Tribunal has issued notice to the Committee of Creditors (CoC), Videocon's resolution professional and successful resolution applicant Twin Star. The NCLAT has asked everyone to reply in two weeks. The next hearing of the matter will now take place on September 7. Confirming the development, Bank of Maharashtra's advocate Chaitanya B Nikate said that the NCLAT has stayed the order of the NCLT approving the bid. 


Foreign exchange reserves reached a new record, crossed the $ 612 billion mark

Foreign exchange reserves reached a new record, crossed the $ 612 billion mark

Mumbai: The country's foreign exchange reserves increased by $ 835 million to a record high of $ 612.73 billion in the week ended July 16, 2021. According to the data of the Reserve Bank of India, in the previous week ended July 9, foreign exchange reserves had increased by $ 1.883 billion to $ 611.895 billion.

According to the Reserve Bank's weekly data, the increase in foreign exchange reserves in the week under review is due to the increase in foreign currency assets (FCAs), which are a major component of the overall reserves. During this period, FCA grew by $ 463 million to $568.784 billion. Foreign currency assets, expressed in dollar terms, also include the effect of an increase or decrease in the value of other foreign currencies such as the euro, pound and yen held in foreign exchange reserves. 

Gold reserves increased by $ 377 million
According to the data, during this period, gold reserves increased by $ 377 million to $ 37.333 billion. At the same time, the Special Drawing Rights (SDR) with the International Monetary Fund increased by $1 million to $1.548 billion. The Reserve Bank said that during the week under review, India's foreign exchange reserves with the IMF declined by $ 7 million to $ 5.1 billion.