The National Company Law Appellate Tribunal (NCLAT) Friday annulled voting by committee of creditors on state-owned NBCC’s bid to acquire Jaypee Infratech. Hearing a plea by IDBI Bank, seeking a stay or annulment of the voting process, a three-member bench of the NCLAT headed by Chairman Justice S J Mukhopadhaya asked the lenders to conduct a fresh voting from May 31.
IDBI Bank, the biggest lender to the debt-laden realty firm, had opposed NBCC’s bid saying it was conditional. It said NBCC’s offer for the company was conditional upon grant of approval to transfer Yamuna Expressway’s business to NBCC.
Homebuyers and lenders of Jaypee Infratech on Thursday started voting on NBCC’s bid to acquire Jaypee group’s realty firm and complete the construction of over 20,000 flats.
The voting process was to end on Sunday and the outcome declared on May 20.
The bench also allowed CoC to renegotiate with the sole bidder, NBCC India, on its offer.
Justice Mukhopadhaya said the CoC (committee of creditors) may approve the plan if it is in accordance with law, but in case of rejection they cannot pass it until the NCLAT approves the rejection of the bid.
The NCLAT also allowed nine homebuyers’ associations representing around 5,000 buyers to file intervention application.