APM Terminals, the Naveen Jindal Group, and a consortium of GMS, Dubai and BESIKTAS of Turkey have submitted the final bids for Reliance Naval and Engineering Ltd. The Committee of Creditors (CoC) will be meeting on Wednesday to evaluate the bids.
The former Anil Ambani group company was sent for debt resolution after the company failed to repay its debt worth Rs 11,000 crore due to lack of orders from the Indian defence establishment. The company owns and operates a massive shipyard off the South Gujarat coast of Pipavav.
Earlier 12 companies had expressed interest in acquiring R-Naval, but of these only three companies submitted the final bids. The other companies backed out citing post Covid downturn and lack of orders.
United Shipbuilding of Russia, which was one of the keen contenders till the EOI process, backed out of the final bidding process because the company management believed that the pipeline of new defence naval business was not clear and the government had also cancelled the six contracts of the company.
The entire debt of R-Naval is being transferred to the newly set up National Asset Reconstruction Company (NARCL).
IDBI Bank is the lead banker of the company.
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