After a two-day voting process, the Committee of Creditors (CoC) of Jaypee Infra have voted in favour of calling for the fifth round of bids from both the contenders – NBCC and Suraksha Realty. The bidders will be given seven days to submit revised bids, with June 4 as the submission deadline.
After multiple deliberations last week, 98.54 per cent of the CoC voted in favour of new bids in the voting window that ended on May 28, two persons aware of the outcome told ET Now.
“All banks except one voted in favour of the resolution. A majority of the homebuyers too voted in favour,” said one of the above-mentioned sources.
The CoC also voted on the tie-breaker formula that will help decide the successful resolution plan. The resolution of choosing the successful bidder via highest votes from the class of creditors i.e. allottees and Fixed Deposit holders combined was accepted with 90.74 per cent votes in favour. The other option of choosing the plan that receives the higher score after evaluation by the advisors RBSA to be declared as successful was rejected by the CoC with only 9.27 per cent voting in favour.
The insolvency resolution professional (IRP) will also be seeking an extension on the resolution timeline from the Supreme Court (SC) in the coming week.
“The IRP is likely to file an application with the SC next week to seek a 30-day extension. Currently, an extension had been sought until June 7. If the SC approves, the new deadline for the process will be July 7,” the source said.
Ahead of the voting process, NBCC had written to the CoC and the IRP saying that it is willing to consider the points raised in the IRP’s report on the bid’s compliance.
“Though we consider our plan as legally compliant as per our understanding we appreciate that you have to forward legally compliant plans to CoC as per your understanding. In case NBCC is asked to submit a Revised Plan, we shall do on the basis of your observations to your satisfaction for the benefit of all the stakeholders,” the letter read.
Jaypee Infra’s CoC is comprised of 20,000 homebuyers who have a 57% voting share. The company owes Rs 9,783 crore to 13 banks.
