Around 15 companies, including Rakesh Jhunjhunwala-backed Nazara Technologies are jostling to acquire Smaaash Entertainment, The Economic Times reported. The sports-focused digital firm is under insolvency proceedings, it added.
Sources said that prominent among the parties that submitted Expressions of Interest (EoIs) are Nazara Tech (Rare Enterprises), Adlabs Entertainment (Malpani Group), Manikchand Group, FZE, Tech Connect Services, Capri Global, Jindal Enterprises and iLabs India Special Situation Fund, it added.
Moneycontrol could not independently verify the report.
Formerly owned by SSKI-Sharekhan, Smaaash is promoted by Shripal Morakhia, who also submitted an EoI based on a 2018 amendment to the IBC which allows promoters to make an offer on distressed SMEs.
Resolution professional Bhrugesh Amin (BDO India) has set September 8 as deadline for bids. Amin has also admitted Rs 426.26 crore of dues for recovery by lenders Yes Bank, Sidbi, Edelweiss Asset Reconstruction and Mabella Investment Advisors.
Nazara Tech, Malpani Group, Manikchand Group and Amin did not answer queries, the report said.
The lenders expect to recover their money as Smaaash’s revenue has improved after Covid-related lockdowns were eased. It was shut for 18 months due to pandemic restrictions, but has seen better outlook over the past six months as footfall increased.
Smaaash was launched in 2012. It now has 12 centres across 10 cities covering 150,000 sq ft, and has three more centres in development.
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