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SSG Capital challenges CarVal-Arcil offer to buy Uttam Galva units
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Hong Kong-based SSG Capital has moved the National Company Law Tribunal (NCLT) against the lenders’ acceptance of Rs 2,500 crore bid by CarVal Investors and Asset Reconstruction Company (India) Ltd (Arcil) for the two stressed units of Uttam Galva, Press Trust of India reported.

The consortium of Arcil and CarVal Investors, an arm of US-based food and agriculture group Cargill Inc., had offered the sum for Uttam Value Steels and Uttam Galva Metallics.

SSG Capital told NCLT that its resolution plan of Rs 4,506 crore, including Rs 1,000 crore upfront, was rejected by the lenders without any reason.

In April, the Committee of Creditors (CoC) had approved the resolution package of the consortium.

JSW Steel Ltd and the UK-based Liberty House had also earlier shown interest in bidding for the assets.

The combined debt for Uttam Value Steels and Uttam Galva Metallics stood at around Rs 6,100 crore.

A tribunal bench asked both SSG Capital and the resolution professional to file applications by 21 May, when the matter will be heard again.

Email queries to SSG Capital and the resolution professional remained unanswered till the time of press. CarVal Investors could not be reached for comments.

The Mumbai bench of the NCLT had admitted bankruptcy resolution petitions for the two stressed companies in August 2018. The companies were given 20 more days to complete the resolution process after the 270-day resolution deadline ended on 3 April.

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