Lenders reject Rs 2,800-crore Vedanta offer for Lanco unit

Lenders have rejected Vedanta NSE 0.29 %’s Rs 2,800 crore offer for Lanco Amarkantak Power, a Lanco Group company that is undergoing Insolvency and Bankruptcy Code (IBC) proceedings at National Company Law Tribunal (NCLT), according to sources in the know.

Vedanta’s offer had been put to a vote after it was found to be better than a rival offer from iLabs Group. However, its offer failed to get the requisite approval of two-thirds of the creditors who are entitled to vote in the committee of creditors meeting, according to sources.

IBC regulations require that over two-thirds of financial creditors must vote in favour of an offer for a company’s sale to be approved.