It has offloaded its stake in Uttam Galva to meet the eligibility criteria to participate in Essar Steel’s resolution proceeding under IBC. The tribunal has observed that ArcelorMittal would have to pay off all its dues in both the companies to qualify for Essar Steel bidding. The L N Mittal-promoted steel firm has reportedly initiated the process of clearing its liabilities in Uttam Galva, which are close to Rs 5,600 crore. However, the NCLT has not observed how Numetal, the second bidder for Essar Steel’s assets, could be made eligible. This was NCLT’s conclusion after hearing the eligibility argument of the two bidders in the Essar Steel’s resolution proceeding under IBC.

Source: dna April 22, 2018 23:37 UTC