Piramal Group wins the bid for DHFL
The Committee of Creditors (CoC) has approved the Piramal Group’s resolution plan for Dewan Housing Finance Corporation Ltd (DHFL), which was undergoing corporate insolvency resolution process (CIRP).
The CoC preferred the Piramal Group offer to Oaktree Capital. The exact details of the percentage vote share Piramal’s offer garnered is not know yet.
Piramal Group hademerged as the highest bidder with Rs 35,500 crore-bid for whole loan portfolio of housing finance company DHFL. Earlier, Piramals had bid for only the retail portfolio of DHFL. Piramal Group’s bid is higher than Oaktree Capital’s Rs 34,000 crore and Adani Group’s Rs 33,000 crore. Hong Kong-based SC Lowy was another resolution applicant in the race for the NBFC company.
Also Read: Piramal Group’s letter to creditors of DHFL protesting Adani’s ‘unsolicited’ bid
DHFL owed close to Rs 90,000 crore to its financial and operational creditors. Insolvency petition against the DHFL started in November 2019, and it took over an year for the CoC to finally zero in on the successful resolution plan. It remains to be seen how long the NCLT takes to approve the CoC decision.
DHFL became the first financial services company to be brought under insolvency proceeding.
