RP invites bids for JCT Ltd; 25 Aug last day for submitting EoI

JCT Ltd, a leading manufacturer of filament yarn and composite textiles, has formally entered the Corporate Insolvency Resolution Process (CIRP) following an order of the National Company Law Tribunal (NCLT). An “Invitation for Expression of Interest” (EoI) issued by the Deemed Resolution Professional, Hasti Mal Kachhara, has now called for prospective resolution applicants.

The company’s major assets are located in Hoshiarpur and Phagwara, Punjab. According to the EoI, the last date for submitting an expression of interest is August 25, 2025, while the final list of eligible applicants will be released on September 18, 2025. Resolution plans are to be submitted by October 28, 2025.

For FY 2022–23, JCT reported revenue from operations of ₹639 crore and employed around 3,975 people. Its total debt stands at about ₹320 crore, of which ₹282 crore is owed to financial creditors.

The insolvency proceedings were triggered by a petition filed by Phoenix ARC Pvt. Ltd., which had acquired JCT’s debt from lenders including Allahabad Bank, SBI, and PNB. Phoenix ARC had also extended additional funding to JCT, including a ₹20 crore loan facility and a ₹20 crore restructuring support finance facility.

According to the tribunal, JCT Ltd defaulted on repayments, with the last payment of ₹20 lakh made on April 29, 2023. As of November 7, 2023, Phoenix ARC claimed outstanding dues of ₹118.24 crore, including interest. The NCLT admitted the case on October 25, 2024, after rejecting JCT’s plea for adjournment to submit a revised settlement plan, emphasizing that the CIRP is a time-bound process.

Founded in 1946, JCT Ltd is the flagship company of the Thapar Group and has been a pioneer in the Indian textile industry. Its textile division, based in Phagwara, is one of the country’s largest, with a production capacity of 63 million meters per annum. JCT was the first Indian textile company to introduce eco-friendly fabrics made of organic cotton and the first to secure ISO 9001 certification in 1996.

The company operates in two main segments—cotton, synthetic & blended textiles, and nylon filament yarn. Its filament plant, with a capacity of 14,000 MT per annum, is among the largest in India. JCT also diversified into electronics, setting up the country’s first colour picture tube plant through its subsidiary, JCT Electronics Ltd., in collaboration with Hitachi, Japan.

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