Adani Wilmar, the joint venture between the Adani Group and Singapore’s Wilmar International, has received the approval from a committee of creditors to acquire the debt-laden edible oil maker Ruchi Soya Industries Ltd, a report in a financial daily stated.
The acquisition will be made via a special purpose vehicle and would result in a 60% haircut to the lenders, The Economic Times reported.
The resolution plan submitted by Adani Wilmar had received 97% of the votes in its favour, the ET report stated.
Adani Wilmar’s bid stood at Rs 5,474 crore, which included Rs 4,300 crore that would go to the lenders for repayment of loans and the remaining Rs 1,174 crore would be invested in the company as equity. Baba Ramdev-backed Patanjali Ayurved’s bid stood at Rs 5,765 crore and it offered lenders Rs 4,065 crore in loan repayment, according to the report.
Though Patanjali’s overall bid was higher than that of Adani Wilmar, the latter offered more capital to repay the loan. The committee of lenders chose Adani’s bid as it considered settling loans to be more important than investing capital in a firm, the report added.
The resolution professional will file a plan at the National Company Law Tribunal (NCLT) for final approval.
Ruchi Soya is undergoing insolvency proceedings initiated by the NCLT following petitions from creditors Standard Chartered Bank and DBS Bank. It sells food products and edible oils under the brands Nutrela, Mahakosh, Sunrich, Ruchi Gold and Ruchi Star.
Ramky Infra gets buyers for two road assets
Hyderabad-based Ramky Infrastructure Ltd is in advanced discussions to sell two road assets, NAM Expressway and Srinagar Banihal Expressway, for around Rs 3,450 crore, The Economic Times reported, citing two people in the know.
Singapore-based Cube Highways and Infrastructure had entered into a preliminary deal to acquire NAM Expressway for around Rs 1,700 crore, one of the two persons mentioned above told ET.
Ramky Infra is also in final talks with Cube Highways and Canadian alternative asset manager Brookfield to sell Srinagar Banihal Expressway for around Rs 1,750 crore, the report added.
The infrastructure company is looking to pare debt by selling the two road assets, according to the report.
Last week, IL&FS Transportation Networks Ltd and Ramky Infrastructure Ltd agreed to swap their stakes in two road joint ventures.
IL&FS Transportation will sell its entire 50% stake in NAM Expressway Ltd to Ramky and acquire the partner's 50% stake in Jorabat Shillong Expressway.