Nov 11, 2022
Reliance group, Adani bid for India's debt-ridden Future Retail
Nov 11, 2022
Companies led by Asia's richest man, Gautam Adani, and billionaire Mukesh Ambani, the owner of Reliance Industries have entered the fray to acquire India's debt-laden Future Retail Ltd, a document seen by Reuters shows.
April Moon Retail Private Ltd, a joint venture between Adani Airport holdings and Flemingo group, Reliance Retail ventures as well as 13 other firms have submitted expressions of interest (EOIs) for Future Retail.
Future Retail's court-appointed resolution professional (RP), Reliance Industries and Adani group did not immediately respond to emails seeking comment.
The deadline for submission of EOIs ended earlier this month for Future Group's flagship retail unit, Future Retail, which was once the country's second-largest retailer.
It was dragged into bankruptcy proceedings by banks after it defaulted on loans and its lenders rejected a $3.4 billion sale of its assets to market leader Reliance Industries amid a legal challenge by Amazon.com Inc.
The U.S. e-commerce giant has accused Future of violating certain contracts by dealing with Reliance.
Other entities that have submitted EOIs include Shalimar Corporation Ltd, Nalwa Steel & Power, United Biotech, WHSmith Travel, Capri Global Holdings.
A total of 33 lenders had submitted loan claims of about 210.6 billion rupees ($2.59 billion) in August under the ongoing insolvency process. The lead lenders include Bank of India and State Bank of India.
Future Retail's RP had set a deadline of Oct. 20 for submission of EOIs which had to be extended due to lack of interest.
The final list of entities who have submitted the EOIs will be issued on Nov. 20, following which they will be asked to submit a resolution plan by December 15.
© Thomson Reuters 2023 All rights reserved.