Advertisement

DHFL: Court Halts Balloting Process on Four Final Bids


DHFL: Court Halts Balloting Process on Four Final Bids
SHARES

A city court stopped the balloting process on the four final bids received for Dewan Housing Finance Corporation or DHFL. The bids were submitted by firms like Oaktree, Piramal Group, SC Lowy, and Adani Capital. 

ReadUnion Finance Ministry Announces LTC Cash Voucher Scheme For Govt Employees

It is said that the process was stopped so as to get the opinion of National Housing Bank (NHB) which has used regulatory provisions to seek a larger chunk of the proceeds. In the meanwhile, the committee of creditors has reportedly deferred the decision on the winner of the bid until December 3, 2020, as per the city court’s decision which hasn’t been publicized yet. 

Adani Capital managed to take the other bidders by surprise with a bid of well over ₹31,000 crores for the entirety of DHFL. 

People familiar with the matter have said that the offer also came with some conditions, though these haven’t been publicly disclosed as of yet. A senior banker who chose to remain anonymous said that some deemed Adani Capital’s bid disruptive as it came after the deadline.

Also readDistrict Cooperative Banks Can No Longer Finance Self-Development Of Housing Societies

The delay in the process also means DHFL’s ₹88,000 crores of soured debt will take a while to be resolved. Consultations are expected to continue over the next few weeks until a decision is made in early December. 

The Committee of Creditors is also said to be working on a comprehensive recovery plan for individuals that have invested up to ₹7 lakhs on DHFL via debentures or fixed deposits.

ReadDHFL Promoters Kapil Wadhawan And Dheeraj Wadhawan Detained For Violating Coronavirus Lockdown Rules

RELATED TOPICS