NBCC i.e the National Building Construction Company, a state-owned firm and Suraksha Realty have submitted their revised bids in order to acquire the debt-ridden Jaypee Infratech under the insolvency process.
The Suraksha Realty raised its bid to Rs. 7,900 crore to lenders and possession in 3 years to more than 22,000 homebuyers. However, in the previous bid, the company had offered Rs. 5,000 crore. On the other hand, NBCC has offered lenders 1,426-acre land of approximately Rs 5,000 crore and 50% of nearly 3,000 residential apartments that do not have any claimants, the sources said.
According to the revised bid, the Suraksha Realty group has offered to pay Rs. 25 crore to lenders along with land parcels of over more than 1,950 acres that is estimated to cost over Rs. 7,800 crore. The Suraksha Group plans to deliver all stalled projects in 3 years and will pay a penalty of Rs.10 per sqft per month to homebuyers in case the developer fails to fulfill his promise.
Along with this, the Suraksha group will also pay Rs. 100 crore to homebuyers as compensation for the prior delay. The compensation will be paid only after selling additional floor area ratio or in the form of land parcels to the homebuyers’ trust.
On the other hand, the NBCC has now proposed to complete the stalled projects in 4 years from now and will also pay a penalty of Rs. 5 per sqft a month for the earlier delay. NBCC has also offered 1,425 acres of land parcels in Tappal and Agra.
However, the Suraksha has offered 1,500 acres on these locations and extra 460 acres in Jaganpur.
Jaypee Infratech’s Committee of Creditors (CoC) are scheduled to meet today to review bids by both the companies. This is the third time when the bidding for the same has taken place in the Jaypee Infratech insolvency matter.
Prior to this, on 6th November, the Supreme Court ordered that the Jaypee Infratech’s insolvency process should be completed within 90 days and also asked the resolution professional to invite revised bids from the NBCC and Suraksha Realty group.
The fate of nearly 32,000 home buyers remained indecisive after the Allahabad bench of the NCLT declared Jaypee Infratech as insolvent on the petition filed by IDBI Bank under Section 7 of IBC, 2016.
In 2017, the National Company Law Tribunal (NCLT) had admitted the application by an IDBI Bank-led consortium, seeking resolution for JIL under the Insolvency and Bankruptcy Code. The tribunal had appointed Anuj Jain as IRP to manage the company’s business, who later invited bids from investors interested in acquiring JIL and completing the stuck real estate projects in Noida and Greater Noida.