RBI Approves Hinduja Group Entity Acquisition of Reliance Capital
IANS 20 November 2023
The Reserve Bank of India (RBI) approved the resolution plan for debt-ridden Reliance Capital on Friday.
 
The move finally clears the path for Hinduja Group entity—IndusInd International Holdings Ltd (IIHL)—to acquire the company.
 
"This is to inform you that the Administrator of Reliance Capital Limited is in receipt of 'No objection' vide letter dated 17 November  2023, from the Reserve Bank of India," the company said in a regulatory filing.
 
After a protracted battle, IIHL had emerged as the highest bidder with an offer of Rs9,650 crore to take over Reliance Capital in the second round of auction concluded this April.
 
RBI on 29 November 2021, superseded the board of Reliance Capital in view of payment defaults and serious governance issues.
 
RBI appointed Nageswara Rao Y as the administrator in relation to the corporate insolvency resolution process (CIRP) of the company.
 
Reliance Capital is the third large non-banking financial company (NBFC) against which RBI had initiated bankruptcy proceedings under the Insolvency and Bankruptcy Code (IBC). The other two were Srei Group NBFC and Dewan Housing Finance Corporation (DHFL).
 
The central bank, subsequently, filed an application for initiation of CIRP against the company at the Mumbai bench of the National Company Law Tribunal.
 
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Comments
marvellousresearch
3 months ago
Sir/Madam

what position of minority share holder after this order ?

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