Exclusive Process Advisor to Resolution Professional of Rohit Ferro Tech Ltd., (‘RFTL’) under IBC

Sell Side Advisory

Service

April 2022

Date

Industrials

Sector

INR 6,170 MN

Deal Value

Exclusive Process Advisor to Resolution Professional of Rohit Ferro Tech Ltd., (‘RFTL’) under IBC

Deal Highlights:

  • Acquisition of controlling stake (90%) in RFTL under IBC process by Tata Steel Mining Ltd. (‘TSML’), a wholly owned subsidiary of Tata Steel Ltd.
  • TSML has funded ₹ 6,171 mn towards – settlement of admitted claims of ~₹42,000 mn from financial & operational creditors & CIRP cost
  • Additional ₹ 1,640 mn would be infused by TSML towards capex & operations
  • Financial creditors would also be issued 10% equity towards part conversion of their debt
  • Resolution Plan was approved with 100% voting share of Committee of Creditors (‘CoC’)
  • 5 bidders had submitted their Resolution Plan for RFTL

Our Contribution:

  • Identified potential investors & generated strong bidder participation despite COVID induced challenges
  • Assisted RP w.r.t finalization of Evaluation Matrix & RFRP, analyzing Resolution Plans
  • Assisted RP in carrying out evaluation/assessing the commercial feasibility & viability of Resolution Plans
  • Facilitated negotiation strategy with RP / COC for maximization of bid value & transaction structure