Lenders seek to scrap sale of Videocon, move NCLAT

Mumbai: Vedanta’s winning bid to acquire Videocon’s assets through its company Twin Star Technologies is likely to fall through with lenders approaching the National Company Law Appellate Tribunal (NCLAT), seeking fresh bids for the firm.

In an unusual turn of events, the committee of creditors has decided to go back on their earlier approval for a bid after their acceptance turned controversial because it was very close to the liquidation value. Even as the National Company Law Tribunal (NCLT) approved the proposal, it had castigated lenders for the deal because of which the applicant was paying “next to nothing”. The court was also surprised that Twin Star’s valuation of the 13 companies of the Videocon Group was almost identical to the registered valuers’.