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In a reduction for JSW Metal Ltd, the Supreme Court docket on Tuesday agreed to listen to a overview petition in open court docket towards its 2 Could verdict quashing the corporate’s ₹19,350 crore acquisition of Bhushan Energy and Metal Ltd and ordering BPSL’s liquidation.
A bench led by Chief Justice B.R. Gavai and Justice Satish Chandra Sharma handed the order throughout a closed-chamber overview listening to, permitting the matter to be heard in open court docket and issuing discover on the plea.
“Software(s) for itemizing overview petition(s) in open Court docket and software for oral listening to are allowed. Concern discover. Checklist these issues on 31.07.2025 at 03:00 p.m.,” the order acknowledged.
This growth comes as a reduction for JSW Metaloffering it one closing authorized alternative to retain management of BPSL, which it acquired in March 2021 by way of the company insolvency decision course of.
The court docket’s determination additionally affords a breather to lenders equivalent to State Financial institution of India and Punjab Nationwide Financial institution, who filed separate overview petitions in help of JSW Metal.
The Could ruling not solely cancelled the acquisition but additionally made banks return ₹19,350 crore paid by JSW, placing almost ₹34,000 crore of whole financial institution publicity in danger.
“Whereas it’s nonetheless too early to foretell the ultimate consequence, the acceptance of the overview petition shifts the narrative from JSW Metal having definitively misplaced BPSL to a extra hopeful outlook. It’s actually a step in the correct route,” stated Suman Kumar, vp–metals and mining, Dolat Capital.
JSW Metal didn’t instantly reply to emailed queries.
In its plea, JSW Metal argued that it had considerably improved BPSL’s operations for the reason that acquisition. BPSL’s manufacturing capability has almost doubled—from 2.3 million tonnes each year in 2017 to 4.5 mtpa in 2025, JSW Metal stated. Income rose from ₹8,701 crore in FY17 to ₹25,973 crore in FY25, and exports averaged ₹2,976 crore yearly over the past 4 years, it added.
Each JSW Metal and lenders have cautioned that liquidation would hurt BPSL, which has been working as a worthwhile and viable enterprise underneath the permitted decision plan. The Supreme Court docket had earlier granted interim reduction on 26 Could, ordering establishment on liquidation to permit JSW Metal to file the overview petition.
The two Could ruling was primarily based on petitions filed by dissenting monetary collectors, together with Kalyani Group’s Torsteel and former BPSL promoter Sanjay Singal, who challenged delays within the decision plan’s implementation.
The Could ruling discovered that the acquisition violated provisions of the Insolvency and Chapter Code (IBC), significantly concerning adherence to strict timelines.
BPSL was among the many Reserve Financial institution of India’s authentic checklist of 12 massive defaulters flagged in 2017 for decision underneath the IBC. On the time, the corporate owed over ₹47,000 crore to its lenders.
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