The Committee of Creditors (CoC) chose staterun NBCC (India) as a race winner to obtain a debt-affected real estate developer after lenders and homebuyers wrapped their vote on Monday night.
The NBCC proposal garnered 97.4 percent of the total votes with 39.6 percent of lenders and 57.7 percent of homebuyers who supported the offer. Nearly 10 out of 12 lenders voted in favor of the NBCC proposal with IDBI Bank, the main lender in the consortium with a 18.7 percent stake, supporting the state-owned company.
“The insolvency solution professional (IRP) of Jaypati Infratec will intimidate the National Corporate Law Tribunal (NCLT) and the Supreme Court on Saturday. Real construction work on pending projects is expected to start in the next six months.
Within 45 days of IRP’s intimidation of NCLT and the Supreme Court or the first week of February, the court is expected to grant its approval to the NBCC to take over the company.
NBCC has sought about three months to raise funds, and is looking for agencies for various jobs related to stagnant housing projects. The actual work on the project is expected to start in the first week of May.
BK Sokhey, Director of Finance at NBCC (India) said: “We have received the LOI (Letter Of Intent) today and, as required, we will provide Rs. 100 crore bank guarantee to the IRP on Wednesday.” She refused to give more details. IRP of Jaypee Infratech, Anuj Jain, declined to comment on the story.