RCap resolution deadline now on July 16

MUMBAI: NCLT Mumbai has extended Reliance Capital’s resolution process deadline by 90 days to July 16. The current deadline ended on April 14.

The deadline extension was necessitated as the lenders have decided to hold a second round of auction on April 26 in order to maximise the recovery from the sale of Reliance Capital assets.

The three bidders, ie, Torrent, IIHL and Oaktree have confirmed their participation in the auction.

Earlier, the second round of auction was scheduled for April 11, but it was postponed for April 26 as the lenders needed time to sort out the issues raised by the bidders.

The bidders have asked the Reliance Capital lenders to ensure that the resolution plans are IBC and RFRP compliant. Bidders also want certainty from the lenders that there will not be further negotiations after the completion of the second round of auction, and the resolution process would attain finality after the culmination of the second round.