Oberoi Realty Limited announced on 14 July that the Committee of Creditors (CoC) of Hotel Horizon Private Limited (HHPL) has approved a resolution plan submitted by a consortium comprising Oberoi Realty, Shree Naman Developers, and JM Financial Properties and Holdings. A Letter of Intent (LoI) confirming the consortium as the Successful Resolution Applicant has been issued by the Resolution Professional.

The approved resolution plan entails a payment of Rs 9.19 billion, in addition to any applicable statutory dues, to fully settle outstanding claims and unpaid Corporate Insolvency Resolution Process (CIRP) costs. The payment must be completed within 45 days of approval by the National Company Law Tribunal (NCLT), Mumbai Bench.

HHPL owns a premium 7,500 square metre land parcel in Juhu, Mumbai, with sea-facing views of the Arabian Sea. The acquisition is in line with Oberoi Realty’s strategic focus and will be executed either directly or through a special purpose vehicle (SPV) to be formed by the consortium.

As part of the resolution, the consortium or SPV will also subscribe to Rs 10 million in fresh equity shares, thereby taking full ownership and control of HHPL, subject to regulatory and NCLT clearances.

On the BSE, shares of Oberoi Realty Ltd closed at Rs 1,804.55 on 14 July, down by Rs 30.95 or 1.69 per cent.