Bogged down by a Rs 9,000 crore debt, Reliance Naval also crashed into bankruptcy like most of Anil Ambani's firms. Now the Ahmedabad special bench of the National Company Law Tribunal (NCLT) has approced Hazel Mercantile consortium's resolution plan for the firm. In doing so, it rejected appeals challenging the bid, filed by Jindal Steel and Power and Reliance Infrastructure.
Led by Swan Energy, the consortuium had become the winning bidder for Reliance Naval shipyard. Now it has taken another step towards the resolution of the bankrupt Reliance Naval and Engineering, which was previously known as Pipavav Shipyard.
Almost 95 per cent of lenders of Reliance Naval voted in favour of Hazel Mercantile consortium's resolution plan. This is a significant milestone in the stretched resolution saga of Reliance Naval, going on since 26 months ago for Rs 12,429 crore owed to creditors that include the State Bank of India and the Union Bank of India.
Reliance Infra had also launched a two-pronged bid to retake control of India's largest private defence shipyard.
