National Company Law Tribunal (NCLT)-appointed resolution professional Satish Kumar Gupta has invited expression of interest (EOI) for a resolution plan for Ruias-owned Essar Steel on October 23, at or before 5 pm.
Any potential applicant who plans to submit a resolution plan has to provide relevant documents satisfying the eligibility criteria available on the Essar Steel's website, a public notice said on Friday.
The consideration, evaluation and approval of eligible resolution plans forwarded by resolution professional Satish Kumar Gupta of Alvarez & Marsal India to the Committee of Creditors (CoC) is within the purview of the powers of the CoC under the provisions of the Insolvency and Bankruptcy Code (IBC) 2016, informed the notice.
Essar Steel is an integrated steel producer with an installed capacity of 10 million tonne in Gujarat. In June, the Reserve Bank of India (RBI) directed lenders to refer about 12 companies to the bankruptcy court under the IBC, following several failed attempts at loan recovery.
Essar Steel has featured in this list along with others. In terms of market share, the debt-laden Essar Steel has a strong presence in the western and northern parts of the country. Moreover, the company also has logistical advantages from its iron ore slurry pipeline on the east coast.
It has also set up a 30-MTPA 'all-weather' deep draft dry bulk port at Hazira in Gujarat. Located on the western coast of India, the port is used for the import of iron ore and pellets, besides being used as an export site for finished steel, thereby, helping Essar to keep its transportation cost under control.