Adani Group, Jinadal Power Enter Race To Buy Debt-Ridden Videocon Assets

New Delhi: The Adani group and Jindal Power have entered the race to take over the Videocon's consumer durable business which has been put on sale for the second time by lenders.

Interestingly, the sudden jump of Adani group's in the race has surprised everyone and also raised hopes of the lenders following which they are now expecting an early resolution of Videocon's Rs 64,000 crore of debt.

The National Company Law Appellate Tribunal (NCLAT) ordered the second rounds of bids and asked CoC to seek bids again as the bid by Vedanta sought 95 percent haircut on Videocon Industries LTD (VIL) total debt.

According to reports, Vedanta had offered Rs 3,000 crore against VIL's massive debt.

Meanwhile, according to reports, Reliance Industries has also entered a separate race to buy Videocon's oil and gas assets.

Notably, Videocon was the first Indian company to obtain a licence to make colour TVs in 1986. The company was founded by Nandlal Madhavlal Dhoot.

The company has 400 acres across the country of which more than 230 acres is in Aurangabad which is its manufacturing hub in Maharashtra.

However, once leading company in television manufacturing, Videocon landed in financial trouble due to aggressive expansion moves in multiple sectors. A debt of Rs 7,000 crore in 2007 zoomed to over Rs 46,000 crore in 2018, when the largest public sector banks SBI dragged the company to NCLT after it defaulted on loan payments.

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