THE RESOLUTION PLAN IS APPROVED BY THE HON''BLE TRIBUNAL OF RELIANCE RETAIL VENTURES LIMITED
Awaiting price reaction for this filing.
The NCLT Mumbai Bench has approved the resolution plan submitted by Reliance Retail Ventures Limited (RRVL) for Future Supply Chain Solutions Limited, ending the company's insolvency process that began in January 2023 after an admission petition by DHL Ecommerce. The Committee of Creditors had approved the plan with 91.76% voting share, with only State Bank of India (8.24%) dissenting. The total resolution plan value is approximately Rs. 171.38 crore, against admitted claims of around Rs. 895 crore, meaning secured financial creditors will recover about 28.83% of their dues, while other operational creditors recover just 0.085%. The plan will be implemented within 90 days of NCLT approval, the existing board will be replaced, and a Monitoring Committee comprising the RP, two creditor nominees, and two RRVL nominees will oversee implementation.
Equity shareholders are likely to be wiped out as the resolution plan involves capital restructuring in favour of RRVL. Creditors receive only a fraction of admitted dues, with operational creditors worst affected. For shareholders, this effectively marks the end of the company's independent existence, with control passing to the Reliance group.