NBCC to file fresh Jaypee bid after yes vote for extra time

NOIDA: Public sector company NBCC is back in the running for taking over Jaypee Infratech, a little over a week after its bid was rejected as ‘non-compliant’ and a decision was taken to put the proposal by the other applicant, Suraksha, to vote.
After NBCC challenged the interim resolution professional’s (IRP) decision, a vote was instead called to decide on whether to allow a time extension for fresh bids and after a majority agreed, the IRP for Jaypee Infratech gave a seven-day extension to Suraksha and NBCC to file proposals compliant with the rules of the Indian Bankruptcy Code (IBC).
While Suraksha’s resolution application was found compliant, NBCC’s proposal would need another round of tweaking to fit the requirements laid down by the committee of creditors (CoC) before their proposal can be put up for voting by homebuyers.
“NBCC and Suraksha have been given time until June 4 to submit revised bids,” IRP Anuj Jain said.The resolution applicants are vying to complete Wish Town’s 19,500 incomplete flats which may require a fund of Rs 6,000 crore. Both applicants have to dispose of the land assets of JIL and infrastructure assets like the Yamuna Expressway to raise funds and pay debts.
The Supreme Court had asked the NCLT to raise a fresh resolution process and execute the same within a period of 45 days that concluded on May 8.
Jain had appealed for an extension of 30 days to close the resolution. Jain has till June 8 to complete the voting process. The decision for fresh bids was taken after a quick round of votes were called on Friday evening where 10,000 homebuyers participated of whom 7,000 voted in favour of giving both applicants a time extension to submit suitable proposals.
“With 70% buyers voting in favour of a time extension for NBCC, it shows that buyers are keen that NBCC participates in the bids, but we hope that the CoC this time does conclude the resolution within the stipulated deadline as we are already in the fourth year of resolution that started in 2017,” a Wish Town buyer said.