Reliance Capital bidders seek extension of time for submission of binding bids

Reliance Capital bidders have sought an extension of time for submission of binding bids. According to sources, Piramal Finance has sought extension by 12 weeks, while Advent has sought time till January 30, 2023, i.e., 16 weeks extension for submission of binding bid, as the company has not yet done due diligence.

There are other bidders also who have sought a similar extension of timeline for filing of binding bids. IndusInd has sought 10 weeks extension, Oaktree has asked for 12 weeks and Zurich has requested for 8 weeks extension.

As per the current timeline, the last last date for submission of binding bids is 29 September, along with an EMD of Rs 75 crore.

COC will be meeting in the coming week to decide on a time extension to maximise the value for lenders and ensure maximum binding bids for RCAP assets.

The timeline for filing of final Resolution Plan with NCLT is November 1, 2022.

Reliance Capital had received 6 bids under option-1, i.e., for Reliance Capital as a company. Torrent, IndusInd, Oaktree, Cosmea Financial, Authum Investment, and B Right Real Estate have submitted bids in the range of Rs 4,000 crore to Rs 4,500 crore for Reliance Capital's entire assets.

For Reliance General Insurance business, Piramal Finance has bid Rs 4,000 crore, while Zurich Insurance's bid is Rs 3,500 crore. The third bidder, i.e., Advent has bid Rs 7,000 crore for Reliance General Insurance.

Jindal Steel and Power and UVARC have submitted bids for Reliance Capital's ARC business.

For other assorted assets of Reliance Capital, three bidders -- Choice Equity, Global Fincap and Grand Bhawan have submitted the bids.