Mumbai: The insolvency resolution professional (IRP) of Bhushan Steel Ltd has invited resolution plans from the public to turnaround the business of debt-laden steel maker, a newspaper advertisement in Times of India edition dated 9 October showed. The plans can be submitted by resolution applicants who can be potential lenders, investors or any other persons till 23 December 2017.
The advertisement by Vijaykumar V. Iyer of Deloitte Touche Tohmatsu India LLP, who has been appointed as the IRP for Bhushan Steel, also stated that the committee of creditors is in the process of selecting the eligibility criteria for the appraisal of resolution applicants.
“The committee of creditors, pursuant to its meeting held on September 25, 2017, is in the process of adopting the eligibility criteria for its appraisal of the resolution applicants and that upon the finalization of the eligibility criteria, the same shall be made available in the data room to be opened for resolution applicants and shall also be uploaded on the website of the corporate debtor,” the advertisement stated.
On submission of resolution plans, the same will be presented by the IRP to the committee of creditors. Further, the evaluation process for the resolution plans presented and the relevant timelines will be decided by the committee of creditors.
“The committee of creditors shall have the right to approve or not approve any resolution plan presented to the committee of creditors by the resolution professional without assigning any reasons to the resolution applicant or the resolution professional,” the advertisement showed.
Bhushan Steel’s total debt stood at around Rs42,355 crore as of 31 March. The National Company Law Tribunal admitted the bankruptcy plea against the steel company filed by State Bank of India on 26 July. The insolvency resolution process for Bhushan Steel is expected to be completed by 22 January 2018. Bhushan Steel has manufacturing plants in Odisha, Maharashtra and Uttar Pradesh.