The Supreme Court on Friday rejected JSW Steel\u2019s \u20b919,700-crore resolution plan for Bhushan Power and Steel Ltd (BPSL), terming it “illegal” and ordering the liquidation of the debt-ridden company.<\/p>\n\n\n\n
The plan has been earlier approved by BPSL\u2019s Committee of Creditors (CoC). On this the apex court stated that the plan violated insolvency law as JSW had used a mix of equity and optionally convertible debentures (OCDs) to fund the takeover, instead of equity alone. It also flagged the failure to implement the resolution within the stipulated timeline.<\/p>\n\n\n\n
Following the verdict, JSW Steel\u2019s shares dropped 5 per cent on the bourses.\u00a0<\/p>\n\n\n\n
The verdict is a major setback for JSW Steel, which had been vying to acquire the debt-laden firm through insolvency proceedings. The court\u2019s decision may alsohave wider implications for future resolution plans under the Insolvency and Bankruptcy Code (IBC).<\/p>\n\n\n\n
Eqwires Research Analyst<\/a><\/strong><\/p>\n\n\n\n Top-notch SEBI registered research analyst<\/a><\/strong><\/p>\n\n\n\n Best SEBI registered Intraday tips provider <\/a><\/strong><\/p>\n\n\n\n info@eqwires.com<\/strong><\/a><\/p>\n\n\n\n Telegram <\/a>| Facebook <\/a>| Instagram<\/a><\/strong><\/p>\n\n\n\n Call: +91 9624421555 \/ +91 9624461555<\/em><\/strong><\/p>\n\n\n\n www.eqwires.com<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":" The Supreme Court on Friday rejected JSW Steel\u2019s \u20b919,700-crore resolution plan for Bhushan Power and Steel Ltd (BPSL), terming it “illegal” and ordering the liquidation of the debt-ridden company. The plan has been earlier approved by BPSL\u2019s Committee of Creditors (CoC). On this the apex court stated that the plan violated insolvency law as JSW had used a mix of equity and optionally convertible debentures (OCDs) to fund the takeover, instead of equity alone. It … Continue reading “SC scraps JSW Steel’s Bhushan Power & Steel resolution, orders liquidation”<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":4196,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[74],"tags":[],"class_list":["post-4195","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-best-sebi-registered-advisory-company"],"_links":{"self":[{"href":"https:\/\/www.eqwires.com\/tutorials\/wp-json\/wp\/v2\/posts\/4195","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.eqwires.com\/tutorials\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.eqwires.com\/tutorials\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.eqwires.com\/tutorials\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.eqwires.com\/tutorials\/wp-json\/wp\/v2\/comments?post=4195"}],"version-history":[{"count":1,"href":"https:\/\/www.eqwires.com\/tutorials\/wp-json\/wp\/v2\/posts\/4195\/revisions"}],"predecessor-version":[{"id":4197,"href":"https:\/\/www.eqwires.com\/tutorials\/wp-json\/wp\/v2\/posts\/4195\/revisions\/4197"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.eqwires.com\/tutorials\/wp-json\/wp\/v2\/media\/4196"}],"wp:attachment":[{"href":"https:\/\/www.eqwires.com\/tutorials\/wp-json\/wp\/v2\/media?parent=4195"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.eqwires.com\/tutorials\/wp-json\/wp\/v2\/categories?post=4195"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.eqwires.com\/tutorials\/wp-json\/wp\/v2\/tags?post=4195"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}