Real estate fund Experion Developers set to acquire Dignity Buildcon
Real Estate

Real estate fund Experion Developers set to acquire Dignity Buildcon

According to an application filed by the resolution professional with the bankruptcy court, Singapore's real estate focused fund Experion Developers received the most votes for Blackstone-backed besieged Dignity Buildcon in a deal that would imply a 50% recovery for lenders originally led by Stanchart Bank.

Experion Developers offered Rs 450 crore for the real estate developer Dignity Buildcon, which is involved in the development of commercial towers on Gurgaon's Golf Course Extension Road. The Dignity Developers resolution, which was mired in a series of lawsuits, was eventually approved by 99.7% of lenders by value.

Shailendra Ajmera, who took over as RP in January 2022, was backed by EY and received three plans from Experion, M3M India, and Madhav Dhir and Alok Dhir, the promoters of Alchemist Asset Reconstruction Company. Sattva Developers, who was also in the running, later withdrew its bid.

The RP accepted Rs 1065 crore in lender, trade creditor, and employee claims. Lenders' admitted claims amounted to Rs 1006.7 crore. Experion offered secured creditors Rs 450 crore, unsecured and trade creditors Rs 2.5 crore each, and employees Rs 97 lakhs.

Standard Chartered Bank had the highest debt of 49.8% among major lenders, three Blackstone (BREP Asia) real estate funds held 10.16% of debt, and Alchemist ARC had 35.36% of debt. Interestingly, in January and February 2023, Standard Chartered Bank and Blackstone's fund BREP both sold debt to Experion Capital. The winning bidder also owns Experion Capital, which acquired nearly 60% of the debt. In April 2019, the company was declared insolvent.

Although the former RP received 21 expressions of interest, only four applicants- Sattva, Safal Construction, M3M, and Dhirs- submitted resolution plans. Between December 2020 and March 2021, the erstwhile RP had held voting on the plans by four bidders at least half a dozen times. In each of them, Sattva Construction received 64.64% voting, which is slightly below the 66% requisite vote needed to pass any resolution under the Insolvency and Bankruptcy Code.

Also Read
Navi Mumbai Airports to get operational by next year
Indian airports' revenues to rise next fiscal year

According to an application filed by the resolution professional with the bankruptcy court, Singapore's real estate focused fund Experion Developers received the most votes for Blackstone-backed besieged Dignity Buildcon in a deal that would imply a 50% recovery for lenders originally led by Stanchart Bank. Experion Developers offered Rs 450 crore for the real estate developer Dignity Buildcon, which is involved in the development of commercial towers on Gurgaon's Golf Course Extension Road. The Dignity Developers resolution, which was mired in a series of lawsuits, was eventually approved by 99.7% of lenders by value. Shailendra Ajmera, who took over as RP in January 2022, was backed by EY and received three plans from Experion, M3M India, and Madhav Dhir and Alok Dhir, the promoters of Alchemist Asset Reconstruction Company. Sattva Developers, who was also in the running, later withdrew its bid. The RP accepted Rs 1065 crore in lender, trade creditor, and employee claims. Lenders' admitted claims amounted to Rs 1006.7 crore. Experion offered secured creditors Rs 450 crore, unsecured and trade creditors Rs 2.5 crore each, and employees Rs 97 lakhs. Standard Chartered Bank had the highest debt of 49.8% among major lenders, three Blackstone (BREP Asia) real estate funds held 10.16% of debt, and Alchemist ARC had 35.36% of debt. Interestingly, in January and February 2023, Standard Chartered Bank and Blackstone's fund BREP both sold debt to Experion Capital. The winning bidder also owns Experion Capital, which acquired nearly 60% of the debt. In April 2019, the company was declared insolvent. Although the former RP received 21 expressions of interest, only four applicants- Sattva, Safal Construction, M3M, and Dhirs- submitted resolution plans. Between December 2020 and March 2021, the erstwhile RP had held voting on the plans by four bidders at least half a dozen times. In each of them, Sattva Construction received 64.64% voting, which is slightly below the 66% requisite vote needed to pass any resolution under the Insolvency and Bankruptcy Code. Also Read Navi Mumbai Airports to get operational by next year Indian airports' revenues to rise next fiscal year

Next Story
Infrastructure Urban

DICV Shows Resilience in 2024, Charts Path for Sustainable Growth

Daimler India Commercial Vehicles (DICV), a wholly-owned subsidiary of Daimler Truck AG, today reflected on its resilient and transformative performance in 2024. Despite the Indian commercial vehicle market experiencing an overall ten percent decline due to macroeconomic challenges, elections, erratic monsoon, and sectoral uncertainties, DICV strengthened its core operations and laid a strong foundation for sustainable growth through a firm commitment in innovation, sustainability, quality, and customer-centric solutions.Business resilience: Bus and aftermarket business drove DICV’s solid pe..

Next Story
Infrastructure Urban

Renesas, MeitY Partner to Support Startups & Academic Institutions

Renesas Electronics Corporation, a premier supplier of advanced semiconductor solutions, today announced its partnership with the Ministry of Electronics & Information Technology (MeitY), Government of India, to support local startups and academic institutions in the field of VLSI and embedded semiconductor systems. Renesas also celebrated the expansion of its offices in Bengaluru and Noida to accommodate its growing R&D teams, with the inauguration ceremonies held today. This strategic move underscores Renesas’ commitment to innovation and excellence in India and aims to drive conti..

Next Story
Infrastructure Urban

India, EU Unite for Research on Marine Plastic & Waste-to-Hydrogen

India and the European Union (EU) have launched two major research and innovation initiatives under the India-EU Trade and Technology Council (TTC). The TTC was established in 2022, by Indian Prime Minister Narendra Modi and European Commission President, Ursula von der Leyen to strengthen the bilateral partnership on trade and technology. With a joint investment of Rs 3.91 billion, the initiatives focus on two coordinated calls in the areas of Marine Plastic Litter (MPL) and Waste to Green Hydrogen (W2GH), co-funded by Horizon Europe—the EU’s research and innovation framework programme—..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?