Sarda Energy Wins SKS Power Bid Amidst Legal Challenges

The insolvency appellate tribunal NCLAT has been informed that SKS Power Generation's lenders received an upfront payment of Rs 1,950 crore from Sarda Energy and Mining, the successful bidder. Allegations of malafide intention were rejected. Torrent Power and others challenged the selection. Hearings remain inconclusive.

Sarda Energy and Mining has made an upfront payment of Rs 1,950 crore to the lenders of SKS Power Generation, as confirmed to the National Company Law Appellate Tribunal (NCLAT). Allegations of malafide intentions in approving Sarda Energy's bid were dismissed during the tribunal proceedings.

Mukul Rohatgi, representing the lenders, stated that a proper evaluation was conducted, following earlier directives from the NCLAT, and a clear decision was made by the Committee of Creditors (CoC). Rohatgi emphasized that the decision was based on commercial considerations and not bias.

Competing bidders, Torrent Power and Singapore-based Vantage Point Asset Management Pte, challenged the National Company Law Tribunal's (NCLT) approval of Sarda Energy's bid. The NCLAT hearing remains inconclusive and is set to continue on Wednesday.

(With inputs from agencies.)