JSW Steel Ltd may not pursue its interest in buying out bankrupt Essar Steel if it wins the stressed Bhushan Power and Steel Ltd instead, said two people close to the development. According to a few members of Bhushan Power and Steel’s committee of creditors (CoC) that Mint spoke to, bankers are overwhelmingly in favour of JSW Steel’s offer for the stressed plant.
One banker that Mint spoke to, who did not wish to be named because the voting results are not yet public, said that JSW Steel’s offer of ₹19,700 crore for the stressed plant has won the approval of more than 67% of the voting CoC members, the minimum threshold that the winning resolution plan should cross.
The final decision can only be announced by the National Company Law Appellate Tribunal (NCLAT), but banks are keen to go with the highest offer, the banker said. Read more