Reliance Home Finance Limited's board takes note of resolution plan approved by lenders

The Board of Directors of Reliance Home Finance Limited (RHF) at its meeting held today, took note of the resolution plan approved by the Lenders forming part of the Inter-Creditor (ICA Lenders) under RBI's Prudential Framework for Resolution of Stressed Assets, Directions dated 07 June 2019 ("RBI Directions").

The Board of Directors of RHF has also appointed a committee to take further steps in the matter.

Lenders selected Authum Investment and Infrastructure Limited (Authum) as the successful Bidder to acquire the Company and/or all its' assets through a competitive bidding process after several rounds of negotiations between the bidders and the Lenders.

Authum's debt resolution plan is approved under RBI's Prudential Framework for Resolution of Stressed Assets, Directions dated 07 June 2019 ("RBI Directions").

The ICA Lenders with Bank of Baroda as the Lead Bank have received initial Expression of Interest from over 15 bidders, of which 4 binding bids were shortlisted and the final successful bidder was selected.

The implementation of the resolution plan by the successful bidder is subject to approval of non-ICA Lenders, shareholders, regulatory authorities and, vacation of existing legal injunctions on the Company.

Shares of Reliance Home Finance Ltd was last trading in BSE at Rs.5.7 as compared to the previous close of Rs. 5.43. The total number of shares traded during the day was 7826255 in over 5942 trades.

The stock hit an intraday high of Rs. 5.7 and intraday low of 5.16. The net turnover during the day was Rs. 43523443.

Source : Equity Bulls

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