Reliance Retail in final list of resolution applicants for Future Enterprises

BL Mumbai Bureau Updated - July 26, 2023 at 09:45 PM.

The last date for submitting resolution plans is August 24, extended from the earlier date of August 19

The bankruptcy proceedings have been delayed, first by a reconstitution in the committee of creditors and more recently by a change in the resolution professional

All the three prospective resolution applicants for Future Enterprises — Reliance Retail Ventures, Jindal (India), Ltd and GBTL Ltd — have made it to the final list. The provisional list, released on July 11, had the same names.

Future Enterprises went into insolvency in February this year and 26 financial creditors, that include a gamut of public and private sector banks, are claiming close to ₹16,000 crore from the company.

The last date for submitting resolution plans is August 24, extended from the earlier date of August 19. The bankruptcy proceedings have been delayed, first by a reconstitution in the committee of creditors and more recently by a change in the resolution professional.

Future Enterprises was part of the 19 group companies of the Future Group operating in retail, wholesale, logistics and warehousing segments, that were to be transferred to Reliance Retail in a near ₹25,000-crore deal announced in August 2020. The deal was called off in April last year after secured creditors of the Future group companies voted against the acquisition proposal.

Bankruptcy proceedings

Other group companies such as Future Retail and Future Lifestyle Fashions are also undergoing bankruptcy proceedings.

While Reliance Retail had also expressed initial interest in Future Retail’s assets, it did not take it to the final stage. The process is still dragging on.

The resolution professional for Future Lifestyle recently invited expressions of interest for the company, the last date for which is July 28.

Published on July 26, 2023 10:54

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