NCLAT Dismisses Insolvency Proceedings Against Jaypee Healthcare After Max Healthcare Settlement

The National Company Law Appellate Tribunal (NCLAT) closed insolvency proceedings against Jaypee Healthcare after its financial creditors' dues were settled by Max Healthcare. The closure followed Max Healthcare's acquisition of a 64% stake in Jaypee Healthcare and a strategic agreement with the Lakshdeep Group.

The National Company Law Appellate Tribunal (NCLAT) has officially closed the insolvency proceedings against Jaypee Healthcare after the company settled its financial debts with Max Healthcare. This decision comes on the heels of Max Healthcare's acquisition of a significant stake in Jaypee Healthcare.

The appellate tribunal decided to cease the Corporate Insolvency Resolution Process (CIRP), following confirmation from financial creditors that they received Rs 1,035.29 crore in settlement amounts, leaving no outstanding claims. The CIRP was initially triggered by the National Company Law Tribunal (NCLT) on a petition filed by JC Flowers Asset Reconstruction Ltd.

This resolution was a result of Max Healthcare taking a decisive move on September 13, acquiring a 64% stake in Jaypee Healthcare for Rs 1,660 crore. Max Healthcare, in coordination with the Lakshdeep Group associated with Jaypee Healthcare, facilitated the settlement, leading to the end of CIRP as ordered by NCLAT.

(With inputs from agencies.)