The Mumbai bench of the National Company Law Tribunal (NCLT) has accepted a bid by an unregistered union of the premium apparel brand Reid & Taylor India to take over the firm, stalling liquidation and has posted the matter for further hearing on January 8. Reid & Taylor is owned by Kalsiwal family. Company is also facing a bankruptcy proceeding and owes Rs. 4,100 crores to banks and lenders. The committee of creditors had decided to go in for liquidation as no resolution was submitted even when it got eight expressions of interest.
Its lenders and financial creditors include Finquest Financial Solution which is the largest with close to Rs 800 crore of claims, Union Bank of India, Punjab National Bank, IL&FS Financial Services, IDBI Bank and L&T Finance etc. Companies like Edelweiss ARC, Arcil and JM Financial ARC also have exposure in Reid & Taylor which sells premium suits, jacket, trousers, shirts, T-shirts, among others. This brand was also endorsed by the actors like Pierce Brosnan and Amitabh Bachchan.
The NCLT bench consisting of Bhaskara Pantula Mohan and V Nallasenapathy also asked the resolution professionals-- Animesh Bisht, and Harpreet Singh Gupta of EY--to get the bids from the two foreign investors--SP Growth Partners of Hong Kong and an unnamed British investor-- on or before January 7 and present the proposal to the tribunal the next day when they will hear the matter again.
Tags : #NCLT #Bid #Liquidation #Reid&Tailor #Stalls