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Shares of UltraTech Cement gained 1 percent in the opening trade on Tuesday as Binani Cement's lenders accepted UltraTech offer.
The committee of creditors (CoC) of Binani Cement on May 28 voted in favour of accepting UltraTech Cement’s Rs 7,950 crore bid.
This comes even as the Dalmia Bharat-led consortium has moved the Supreme Court asking Aditya Birla Group's UltraTech Cement be disqualified to bid for the stressed assets of Binani Cement.
The bid by UltraTech is nearly Rs 1,000 crore higher than the offer by Dalmia Bharat Group's wholly-owned subsidiary Rajputana Properties, the other bidder being considered by the creditors.
Financial creditors led by Edelweiss Asset Reconstruction Company voted to accept UltraTech Cement’s offer as the highest bid received under the insolvency and bankruptcy process initiated against Binani Cement
The source said all the financial lenders’ claim of interest would be paid “as-on-date” and Dalmia Group further declined to increase the bid offer.
Other lenders part of the CoC include IDBI Bank, Bank of Baroda, Bank of India and State Bank of India (SBI).
Binani Cement, which owes Rs 6,469 crore to its financial creditors, is among the top 12 companies referred by the Reserve Bank of India for insolvency proceedings.
At 09:20 hrs UltraTech Cement was quoting at Rs 3,743.00, up Rs 10.95, or 0.29 percent on the BSE.
Posted by Rakesh Patil
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