Reliance Industries Limited (NSEI:RELIANCE) in partnership with Assets Care & Reconstruction Enterprise Ltd. (ACRE) has sought approval from the Competition Commission of India (CCI) to acquire Sintex Industries Limited (BSE:502742) which is undergoing insolvency proceedings. The application to CCI is made at a time when lenders are close to finalising the highest bidder for the Gujarat based textile company. ET has reviewed a copy of the application made by the Reliance, ACRE team to CCI.

On Tuesday (January 25, 2022), lenders asked the four resolution applicants to submit a revised improved unconditional bid by January 29, 2022, two people who were aware of the matter said. Reliance Industries and ACRE did not respond to the request for comment. The other three applicants in the fray are Easygo Textiles Private Limited, Himatsingka Ventures and GHCL Limited (NSEI:GHCL).

An approval from CCI is required before lenders approve a resolution plan. At present, the Reliance Industries-ACRE team has offered INR 23.63 billion which includes INR 22.80 billion to financial creditors and the remaining to trade creditors and employees. In addition to this, they have also offered 10% equity to the financial creditors.

Easygo Textile offered INR 23 billion resolution plan, of which INR 22 billion is for financial creditors while the remaining is for trade creditors and employees. The resolution plan from Himatsingka Ventures is INR 22.10 billion of which INR 22 billion is for financial creditors while GHCL plans is INR 20.40 billion of which INR 20 billion is for financial creditors, as reported earlier. Among the four bidders, Himatsingka is the only one that has offered a small payment to equity holders, one of the persons said.

One of the bidders has opposed lenders' plan of holding a Swiss auction if the bidder does not make an improved offer.