Adani Group's bid for Radius Estates has been approved by 80% of creditors, surpassing the two-thirds majority required under the Insolvency and Bankruptcy Code (IBC) guidelines for approval of a bid.

The bid by Adani Group has become controversial after the debenture holders of Radius Estates, ICICI Prudential Venture Capital Fund Real Estate Scheme 1, and Beacon Trusteeship, approached by the National Company Law Tribunal (NCLT).

NCLT has directed the lenders to continue voting on Adani's bid and even extended the voting timeline.

The creditors of the real estate firm, Radium Estates, include banks and financial institutions, while homebuyers Rs 3,000 crore in unpaid dues.

According to the sources, the creditors are in favour of Adani's bid as looking at the voting results. They have also approved a resolution plan to provide interim finance of Rs 500 crore to complete the statutory dues to the government and resume the construction process.

Adani's bid requires financial creditors, including Housing Development Finance Corporation (HDFC), Yes Bank, Dewan Housing Finance Corporation Limited (DHFL) and the debenture holders to write off 90% dues of about Rs 1,700 crore. HDFC has a loan amount of Rs 1,000 crore to Adani.

The company has offered a luxury residential apartment, Ten BKC, at no extra cost to the homebuyers. Ten BKC has more than 400 residential units under construction.

ICICI Prudential Venture Capital Fund has 1,810 investors, and Beacon Trusteeship has 330 investors, while their total outstanding dues are nearly Rs 200 crore.

The debenture holders might approach National Company Law Appellate Tribunal (NCLAT) to oppose the voting results on the basis that the homebuyers who have purchased houses of Rs 5 crore or above should shoulder more of the financial burden.

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