Binani Cement deal: SC won't intervene 'for now' in Dalmia-UltraTech tussle

Binani Cement deal: SC won't intervene 'for now' in Dalmia-UltraTech tussle”

However, on hearing the plea, the apex court had disallowed such an arrangement, forcing Binani to withdraw its plea to pull Binani Cement out of the insolvency resolution process.

Justice Nariman said that all these can be argued in the appellate tribunal which will next hear the case on May 22. It also gave a chance to Dalmia Bharat to match Ultratech's bid, and if required all parties-banks, Ultratech and Dalmia Bharat could meet across the table and have a form of open bidding for Binani Cement. Its contention has been that the UltraTech bid was illegal as it goes against the provisions of Insolvency and Bankruptcy Code.

Dalmia Bharat may have taken a hit at the different courts recently, but it is not out of the picture.

According to Rajputana, UltraTech and Binani Industries are acting in concert, a view which is being substantiated by their previous partnership which sought to take over Binani Cements outside the IBC purview. The Dalmia Bharat-owned Rajputana Properties had filed a case against an National Company Law Appellate Tribunal (NCLAT) order that had considered a revised bid from UltraTech. In February, UltraTech and a consortium of Dalmia Bharat and Bain-Piramal's India Resurgence Fund had separately bid for the company.

Arguing that the company emerged as the highest bidder in a process that took place under the established legal framework, Dalmia Bharat's lawyer insisted that UltraTech's offer was an "unholy alliance between a failed bidder and a former promoter".

UltraTech was not declared the victor in view of the penalty imposed by the Competition Commission of India (CCI) for alleged cartelisation with 10 other cement manufacturers. The tribunal had also asked the lenders a revised bid from Dalmia if the company wished to offer.

The apex court last month had rejected the demand for an out-of-court settlement between the promoters of Binani Industries and UltraTech.

A scheduled meeting of Binani Cement's lenders for Thursday has been postponed after Dalmia Bharat alleged that UltraTech is ineligible from participating in the auction.

UltraTech had also provided BIL a letter of comfort for paying Rs. 7,266 crore for the stake sale that BIL would have used to pay off lenders if Binani Cement would have come out of the IBC. The two companies have been in a deadlock for the takeover of Binani Cement ever since.

Meanwhile, the Committee of Creditors who were supposed to meet here to consider the revised higher bid offered by UltraTech has been put off indefinitely, said sources. This was approved in NCLT's abovementioned May 2 order.

In the latest twist to Binani Cement Ltd's takeover proceedings, the Kolkata.

As things stand today, there is no stay on the NCLT order which asked the creditors to consider the revised bids.

Like this



11 May 2018
Events on tap for Mental Health Week
Research into mental health in construction is still in its infancy, but what we know is that it is a significant issue. Young helped raise awareness about the lack of mental illness help children actually receive.

11 May 2018
Unnao rape case: Victim demands death for accused BJP MLA
The victim's uncle said, "We demand protection for our family so that we can give our statement before the court fearlessly". Victim demands death penalty for Sengar: Speaking to news agency ANI, the victim on Friday demanded death penalty for Sengar.

11 May 2018
Trump's Decision On Iran May Be His Biggest Mistake Yet
More recently, the President has leaned on European partners to "fix the awful flaws" in the deal as a last resort. He also said Trump's remarks threatened both Iran's people and its theocratic government.

11 May 2018
What Trump's Iran decision means for oil and gas prices
In a statement late Tuesday, the Saudi energy ministry said was "committed to supporting the stability of oil markets". Prices had already been rising as a strong global economy has kept demand high for gasoline and other refined products.

11 May 2018
Mayor Durkan offers her own, smaller Seattle head-tax plan
Both plans would funnel revenue towards building affordable housing and adding homelessness services and shelters. O'Brien said, whichever proposal moves forward, the need for additional resources is clear.

11 May 2018
President Trump backs out of the Iran Nuclear Deal
Trump had roundly criticized the agreement in 2016 during his electoral campaign, calling it the "worst deal" he had ever seen. The United States can't kill a deal all by itself that four other nations plus the European Union are all involved in.

11 May 2018
Russia: Pence urges Mueller to end investigation - 'Time to wrap it up'
Secretary of State Mike Pompeo traveled to North Korea for the second time since Easter weekend. Trump's diplomatic success story came after U.S.

11 May 2018
IHH upset by Fortis choice for hospital deal, to seek shareholders' support
Fortis has set up an advisory committee to evaluate offers from suitors vying to acquire the company, or take a stake in it. Starting from first hospital at Mohali in 200, Fortis Healthcare has grown to be a leading healthcare provider in India.

11 May 2018
Preparing for a parade fit for a Royal Prince
The former Suits actress is set to tie the knot with the British royal on 19 May at St George's Chapel at Windsor Castle, England. However, there is a big possibility that a reunion at the Prince Harry , Meghan Markle wedding will happen.

11 May 2018
Highlights of Sindh Budget 2018-19
NICVD's budget has been increased from Rs5.8 billion to Rs8.9 billion in this fiscal year's budget. He said it would be a first that the mark of Rs200 billion rupees would be crossed.