Reliance Industries denied reports of a takeover of stressed polyester manufacturer JBF Industries in consortium with CFM Asset Reconstruction Company (ARC). RIL clarified in a regulatory filing that there is no information that needs to be announced to the stock exchanges.
“We would like to inform you that there are no negotiations which are taking place for Reliance to takeover JBF Industries or its assets. The Company evaluates opportunities that come its way on an ongoing basis. There is no information which has not been announced to the stock exchanges and which should have been announced by the Company in terms of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015,” the company stated in a filing.
It added that they have made and will continue to make disclosures in compliance with SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 and their agreements with the stock exchanges.
RIL issued the clarification after a news site reported that RIL is likely to take over JBF, citing sources. It added that bankers had sought takeover bids in July and that CFM ARC is believed to have put in a Rs 825 crore bid for the company that owes Rs 2,116 crore to its lenders.
Bank of Baroda is the biggest lender with an outstanding amount of Rs 500 crore, apart from Canara Bank, Bank of India, Union Bank of India, IDBI Bank, ICICI Bank, Axis Bank, South Indian Bank, Standard Chartered Bank, Indian Overseas Bank, DBS Bank, IFCI Bank, and ACRE.
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