State-run NBCC NSE 1.04 % has received the government’s approval for its revised bid for Jaypee Infratech after a week of lenders of debt-stressed realty developer rejected its offer last week citing lack of these approvals.
“…the Administrative Ministry of NBCC Ministry of Housing and Urban Affairs (MoHUA) has communicated its approval with concurrence/consultation with Department of Expenditure, NITI Aayog and DIPAM for takeover of Jaypee Infratech Ltd by NBCC,” the state-run company said in a regulatory filing.
In its meeting on Friday, the Committee of Creditors (CoC) rejected NBCC’s revised bid to takeover Jaypee Infratech as the same was subject to approval of various government authorities.
NBCC had in the meeting sought some time to secure the necessary approvals. However, the lenders decided to put on vote the offer of Suraksha Realty-led consortium only.
Financial creditors and home buyers are currently voting on Suraksha Realty’s bid. The voting process started on Tuesday and the outcome is expected to be known on Friday.
Meanwhile, the Jaypee Infratech’s lead lender IDBI bankNSE 2.54 % has already approached the Allahabad bench of National Company Law Tribunal (NCLT) to seek an extension to insolvency proceedings beyond the current deadline of May 6.
