Welspun Corp acquires NCDs of Sintex under CIRP

7 Apr 2022 , 01:33 AM

Welspun Corp announced the acquisition of Sintex BAPLs SBAPL Senior Secured Unlisted Non-Convertible Debentures NCDs having a face value of Rs 100000 each with an outstanding of Rs 11288 crore for a purchase price of Rs 3869 crore by the companys wholly-owned subsidiary viz Mahatva Plastic Products And Building Materials Private Limited MPPBMPL from existing Lenders of SBAPL These NCDs have an exclusive pledge of over 100Percentage equity shares of SBAPL along with First Pari Passu charge on the movable fixed assets of SBAPL SBAPL is a company incorporated in India having its registered office in Ahmedabad with 3 major lines of business viz 1 Plastic Products PP Water Tanks Interiors Institutional Products; 2 Indian Custom molding ICM – Automobile plastic molded parts; and 3 BR Rototech Fuel Tanks for Auto Before getting into financial stress SBAPL achieved a turnover of ~Rs 1700 crore in FY 19 with an EBITDA of ~Rs 270 crore 161Percentage Margin BAPL is currently undergoing the corporate insolvency resolution process under the provisions of the Insolvency and Bankruptcy Code 2016 Welspun Corp is desirous of working harmoniously with other lenders of Sintex BAPL to resolve the insolvency situation of SBAPL at the earliest in accordance with the provisions of the Insolvency and Bankruptcy Code 2016