New Delhi : JSW Steel, the largest steelmaker in India, has taken a step closer in its pursuit of Asian Colour Coated Ispat, which had debts of Rs 4,900 crore and was referred to the insolvency courts.The steelmaker’s bid has got the approval from 80 percent of bankers, sources told Moneycontrol. “The voting was done on Friday night,” an executive from the industry said.
JSW Steel has offered to pay Rs 1,525 crore up front to the lenders. Also, it will pay Rs 25 crore to operations creditors.When asked, the JSW Steel spokesperson declined to comment. Sources, however, added that an announcement will be made next week.
Asian Colour Coated Ispat specialises in downstream, galvanised and colour coated products.It has manufacturing facilities close to Delhi and Mumbai, and exports its products to Europe, Latin America and Africa. It has an annual capacity of one million tonne.
SBI, Bank of Baroda and IDBI Bank are the main lenders to Asian Colour Coated.Earlier, the resolution professional and the committee of creditors had moved the National Company Law Tribunal (NCLT) to extend the bid’s submission deadline.The Resolution Professional, Kuldip Kumar Bassi, had filed the petition, which was to be heard on April 10. Later, the hearing was postponed to May 13.
