The National Company Law Tribunal (NCLT) has approved the Ambuja Neotia group’s resolution plan for the acquisition of Kolkata-based real estate developer Riverbank Developers under the insolvency resolution process, marking the conclusion of the company’s corporate insolvency resolution process (CIRP). The approved plan involves an upfront payment of ₹34 crore by Ambuja Neotia, against admitted liabilities of ₹2,358 crore.

The company’s secured financial creditors include HDFC Bank with dues of ₹1,325 crore and Vistra ITCL (India) with dues of ₹237 crore, among others. More than 90% of creditors by voting rights approved the Ambuja Neotia plan, which did not include further monetary details beyond the upfront payment to lenders, according to a report by The Economic Times.

Apart from the Ambuja Neotia group’s subsidiary Ambuja Housing & Urban Infrastructure, the other two companies, MKJ Enterprises and DTC Projects, had also shown interest in acquiring Riverbank Developers through the insolvency resolution process.

With this approval of NCLT’s Kolkata bench, the corporate insolvency resolution process (CIRP) of Riverbank Developers has formally concluded, clearing the way for implementation of the revival plan. Riverbank Developers was admitted into CIRP in April 2024, following an application filed by Canara Bank. The company is engaged in real estate development and had a significant exposure to homebuyers.

As per the tribunal’s order, the corporate debtor had 2,493 allottees, with claims from 2,471 homebuyers admitted during the resolution process.

The resolution professional had invited expressions of interest from prospective resolution applicants and received three resolution plans. After multiple rounds of discussions, negotiations and evaluation meetings, the committee of creditors (CoC) approved the plan submitted by Ambuja Housing & Urban Infrastructure Company Ltd with a 90.61% voting share.

In its order, the NCLT observed that the approved resolution plan complies with the provisions of the IBC and the applicable insolvency regulations.