This week’s Investor Bulletin focusses on the recent amendments to the Insolvency and Bankruptcy Code (IBC) and the broader stressed assets ecosystem. Our discussion takes off from the VCCircle Stressed Assets Investment Summit, which was held in Mumbai on Thursday.
The stakeholders at the conference felt that the National Company Law Appellate Tribunal’s July ruling in the Essar Steel case had destabilised the balance between the secured and the operational creditors.
The government’s move to amend the IBC corrected this imbalance, though there was some concern over sustained legal uncertainty around the IBC three years after the law had been passed.
Participants wanted a sharper focus on execution of the law and better access to information on the assets that the lenders are making available.