ALPS INDUSTRIES LIMITED- INTIMATION TO EXCHANGE IN REGARDS WITH THE APPROVAL OF THE RESOLUTION PLAN BY THE NCLT.
Awaiting price reaction for this filing.
The NCLT Allahabad Bench has approved the Resolution Plan for Alps Industries Limited on November 4, 2025, under the Insolvency and Bankruptcy Code. The plan was approved by the sole financial creditor, Edelweiss Asset Reconstruction Company Limited, with 100% voting share. The successful resolution applicant is a consortium led by Securocorp Securities India Pvt Ltd (95%), along with existing promoter guarantors Krishna Kumar Agarwal and Sandeep Agarwal. The total plan value is Rs 18.75 crore, to be funded via Rs 7.30 crore equity infusion, Rs 10.44 crore loan, and Rs 1 crore direct payment to EARC. The company, a Ghaziabad-based textile firm, had entered the Corporate Insolvency Resolution Process in September 2024 after Edelweiss ARC filed a petition. The approved plan proposes a 99% reduction in face value of existing equity (from Rs 10 to Re 0.10), followed by consolidation, effectively wiping out existing shareholders. Post-restructuring, Securocorp Securities will hold 94.91% of the company, with existing promoters reduced to 1.13% and the public at 3.96%.
Existing equity shareholders are set to receive zero value under this plan, with delisting proposed and a near-total capital wipeout. Edelweiss ARC, the sole financial creditor with admitted claims of around Rs 611 crore, will recover only about Rs 15 crore upfront—an over 97% haircut. The company will continue as a going concern under new management, with plans to restart textile operations. Retail investors holding Alps Industries shares face a likely delisting and total loss of their investment value.