Supertech to raise funds from OakTree for unfinished projects
Real Estate

Supertech to raise funds from OakTree for unfinished projects

According to Mohit Arora, the Managing Director of realty developer Supertech, the company plans to secure Rs 12-16 billion from OakTree financial in order to finish their unfinished projects. Arora stated that the Supreme Court has chosen not to interfere with NCLAT's order from June 2022, which allowed Supertech's promoters to receive funds on a priority basis and complete their projects. The NCLAT also requested that the COC not be formed and that the IBC bidding process not be continued. With the priority fund from OakTree financial, Supertech plans to complete all their projects within the next two years and fulfill their commitments to homebuyers, bankers, lending institutions, and land authorities, according to Arora.

Supertech had submitted a plan to raise funds to the NCLAT, but it was unable to do so after some lenders approached the Supreme Court. However, with the most recent ruling, the developer will return to the NCLAT.

The NCLAT had granted permission for the construction of Supertech's Eco Village-II project and other projects, despite the fact that the NCLT had previously ordered the CoC to take over Supertech Ltd, which has many ongoing projects in the National Capital Region (NCR). Homebuyers had requested intervention from the NCLAT after the NCLT's order.

The NCLAT ruled that the CoC should only oversee one project and that the remaining projects should be built under the supervision of the insolvency resolution professional (IRP).

Supertech had defaulted on a payment of Rs 4.31 billion to a consortium of banks, which had led to legal proceedings against them.

The NCLAT ruling provided relief to homebuyers as about 7,000 owners from various associations had requested that the appellate body immediately intervene and allow Supertech's promoters to continue construction to meet delivery timelines.

According to the initial petition, Supertech had received a credit facility of Rs 3.50 billion from a consortium of banks to part-fund their Eco Village II project in Greater Noida in 2013. Union Bank of India's exposure to the credit facility was Rs 1.50 billion. Supertech was reportedly irregular in repaying the debt and stopped paying completely in July 2019. The petition also includes interest.

Supertech, which had to demolish two towers at another project in Noida due to an order from the Supreme Court, has multiple ongoing projects in the NCR.

Also Read
NCLT Chandigarh withholds Embassy Group companies' merger
KPDL signs two new residential projects in Pune

According to Mohit Arora, the Managing Director of realty developer Supertech, the company plans to secure Rs 12-16 billion from OakTree financial in order to finish their unfinished projects. Arora stated that the Supreme Court has chosen not to interfere with NCLAT's order from June 2022, which allowed Supertech's promoters to receive funds on a priority basis and complete their projects. The NCLAT also requested that the COC not be formed and that the IBC bidding process not be continued. With the priority fund from OakTree financial, Supertech plans to complete all their projects within the next two years and fulfill their commitments to homebuyers, bankers, lending institutions, and land authorities, according to Arora. Supertech had submitted a plan to raise funds to the NCLAT, but it was unable to do so after some lenders approached the Supreme Court. However, with the most recent ruling, the developer will return to the NCLAT. The NCLAT had granted permission for the construction of Supertech's Eco Village-II project and other projects, despite the fact that the NCLT had previously ordered the CoC to take over Supertech Ltd, which has many ongoing projects in the National Capital Region (NCR). Homebuyers had requested intervention from the NCLAT after the NCLT's order. The NCLAT ruled that the CoC should only oversee one project and that the remaining projects should be built under the supervision of the insolvency resolution professional (IRP). Supertech had defaulted on a payment of Rs 4.31 billion to a consortium of banks, which had led to legal proceedings against them. The NCLAT ruling provided relief to homebuyers as about 7,000 owners from various associations had requested that the appellate body immediately intervene and allow Supertech's promoters to continue construction to meet delivery timelines. According to the initial petition, Supertech had received a credit facility of Rs 3.50 billion from a consortium of banks to part-fund their Eco Village II project in Greater Noida in 2013. Union Bank of India's exposure to the credit facility was Rs 1.50 billion. Supertech was reportedly irregular in repaying the debt and stopped paying completely in July 2019. The petition also includes interest. Supertech, which had to demolish two towers at another project in Noida due to an order from the Supreme Court, has multiple ongoing projects in the NCR. Also Read NCLT Chandigarh withholds Embassy Group companies' mergerKPDL signs two new residential projects in Pune

Next Story
Infrastructure Urban

Larsen & Toubro Secures Contract from Defence Ministry

The Ministry of Defence, Government of India, has awarded a significant contract to Larsen & Toubro (L&T) for supplying K9 Vajra-T Artillery Platforms to the Indian Army. As per the company's project classification, the contract is valued between Rs 50 billion and Rs 100 billion. The K9 Vajra-T, a 155 mm, 52-calibre tracked self-propelled artillery platform, is an adaptation of the globally renowned South Korean K9 Thunder howitzer. It has been co-developed by L&T and Hanwha Aerospace to meet the Indian Army's specific operational needs across diverse terrains, including deserts, plains, and..

Next Story
Real Estate

Delhi-NCR Housing Market sees 25% Sales Growth

The Delhi-NCR property market has maintained its momentum during the December quarter, with housing sales and new supply estimated to grow by 25 per cent and 59 per cent, respectively, as reported by PropEquity. Data from the real estate analytics firm suggests that housing sales in Delhi-NCR are likely to rise to 12,915 units during the October-December period of this year, compared to 10,354 units in the corresponding period of the previous year. New supply in the region is expected to increase significantly, reaching 11,223 units, a 59 per cent rise from 7,072 units in the year-ago quarter..

Next Story
Infrastructure Urban

DDC Approves Five Key Projects Under Kasaragod Development Package

The District Development Committee (DDC) has approved a budget of Rs 100.08 million for five key projects under the Kasaragod Development Package. This funding is part of the Rs 700 million allocated in the State budget for the 2024-25 financial year, with administrative approval formally amended to incorporate these initiatives. The decision was made during a meeting chaired by District Collector K. Inbasekar on Saturday, December 21. The approved projects include Rs 40.99 million for constructing Udayapuram Thungal Road in Kottom Belur grama panchayat and Rs 20.56 million for setting up a ..

Hi There!

"Now get regular updates from CW Magazine on WhatsApp!

Join the CW WhatsApp channel for the latest news, industry events, expert insights, and project updates from the construction and infrastructure industry.

Click the link below to join"

+91 81086 03000