M&A

M&A

Rare ARC, Shree Naman Group consortium gets NCLT’s nod to acquire Rajesh Hotels for Rs.730-Cr

Economic Times  

The National Company Law Tribunal (NCLT) has approved a resolution plan for Mumbai-based Rajesh Business & Leisure Hotels. A consortium comprising Rare Asset Reconstruction Company (ARC) and Check-Inn Hotels, a subsidiary of realty developer, will acquire the company. The plan involves a payment of INR 730 crore.Rajesh Business & Leisure Hotels had admitted liabilities of over INR 1,345 crore and was admitted under the Corporate Insolvency Resolution Process in April 2022 following a petition by ICICI Bank over a default of INR 311 crore.The approved plan provides for an upfront payment of approximately INR 479 crore, with secured financial creditors receiving INR 461 crore as a full and final settlement of their dues.