India Markets closed

DHFL lenders to meet on Feb 20, 14 applicants submit EoI

FE Bureau
DHFL, Expressions of interest, EoI, Dewan Housing Finance Corp, DHFL, Welspun Group, Adani Group, Davidson Kempner, KKR India Financial Services, Bain Capital, SC Lowy, Alternative investment management firm, Oaktree Capital, Asset Reconstruction Company India, ARCIL, Phoenix asset reconstruction company, Warbug Pincus, Varde Partners, Deutsche Bank, Mortgage financier, Committee of creditors, CoC, Retail wholesale and slum redevelopment authority, SRA, Supreme Court, National Company Law Tribunal, NCLT, NCLT Mumbai Reserve Bank of India, RBI, R Subramaniakumar

At least 14 applicants are believed to have submitted expressions of interest (EoI) for Dewan Housing Finance Corp (DHFL), including Welspun Group, Adani Group, Davidson Kempner, KKR India Financial Services, Bain Capital, SC Lowy, alternative investment management firm Oaktree Capital, Asset Reconstruction Company India (ARCIL) and Phoenix asset reconstruction company. Warbug Pincus, Varde Partners and Deutsche Bank also understood to have submitted EoIs for the mortgage financier.

The committee of creditors (CoC) to the mortgage lender will meet on February 20 to discuss the EoIs and vote on evaluation criteria, sources close to development told FE. The deadline to submit EoIs ends on Monday midnight. As per the process approved in the last CoC meeting held on January 16, after submitting expressions of interest, interested bidders will have to complete data analysis by March 2 and then submit final bids by April 16.

The DHFL administrator had invited bids for the company in three parts-retail, wholesale and slum redevelopment authority (SRA). The agenda of the CoC meeting to be held on February 20 also includes administrator to update lenders about the operations of the company, provide legal updates and details of the updated claims.

FE reported earlier that DHFL was looking to restart lending operations. However, more than 100 depositors went to the Supreme Court against restarting of lending operations before clearing their dues. The court had directed depositors to approach National Company Law Tribunal (NCLT) for the same. DHFL has not disbursed loans since May 2019 after the trouble started due to liquidity crunch. The company has received claims of around `92,000 crore till now.

DHFL is undergoing resolution proceedings at NCLT Mumbai after getting admitted on December 3, 2019. Reserve Bank of India (RBI) had superseded DHFL's board on November 20 and appointed R Subramaniakumar as administrator for the resolution of company.