Lenders of Ruchi Soya have approved the Rs 6,000 crore bid of Adani Wilmar to acquire the debt-ridden edible oil firm, sources said. Adani Wilmar and Baba Ramdev’s Patanjali group have been engaged in a long-drawn battle to take over Ruchi Soya.
Adani Wilmar’s bid was approved by the committee of creditors (CoC) with about 96 per cent votes in favour.
The resolution professional will now seek approval from the National Company Law Tribunal (NCLT).
Adani group firm Adani Wilmar, which sells cooking oil under Fortune brand, and Baba Ramdev-led Patanjali were in the fray to acquire Ruchi Soya.
While Adani Wilmar emerged as the highest bidder with Rs 6,000 crore offer, Patanjali group came second with a Rs 5,700 crore bid.
Following this, Patanjali Ayurved had also sought clarification from the RP (resolution professional) of Ruchi Soya related to eligibility of Adani Group to participate in the bidding process.
It also sought to know the parameters adopted by the RP to declare Adani Wilmar as the highest bidder.
The Haridwar-based firm had also questioned the appointment of Cyril Amarchand Mangaldas as the RP’s legal advisor as the said law firm was already advising Adani Group.
Patanjali was asked to submit a revised bid by June 16 to match or better the highest offer of Rs 6,000 crore by Adani Wilmar under the Swiss Challenge system adopted by the RP and the committee of creditors.
However, Patanjali wrote to the RP seeking clarifications instead of submitting a fresh bid.
Adani Wilmar has been selected by the CoC after two-rounds of bidding.
Spokespersons of Adani Wilmar and Patanjali could not be contacted for a comment.
Ruchi Soya, which is facing the insolvency proceedings, has a total debt of about Rs 12,000 crore. The company has many manufacturing plants and its leading brands include Nutrela, Mahakosh, Sunrich, Ruchi Star and Ruchi Gold.
In December 2017, Ruchi Soya IndustriesNSE 5.00 % entered into the Corporate Insolvency Resolution Process (CIRP) and Shailendra Ajmera was appointed as the RP.
The appointment was made by the NCLT on the application of the creditors Standard Chartered Bank and DBS Bank, under the Insolvency and Bankruptcy Code.
Source: Economic Times