The Indian government is currently reviewing the Supreme Court's recent decision that nullified JSW Steel&rsquo;s insolvency resolution plan for Bhushan Power &amp; Steel, a major acquisition made in 2019 for ₹19,700 crore. The Department of Financial Services (DFS), under the Finance Ministry, is engaging with banks and legal advisors to determine the next course of action.
"I have already reviewed the order with all the lenders. We have studied the judgment and taken our advocates&rsquo; views. A government-level decision on how to approach the judgment will be finalised soon," said M Nagaraju, Secretary of DFS.
The Supreme Court on Friday deemed the National Company Law Tribunal's 2019 approval of the resolution plan as illegal, pushing Bhushan Power &amp; Steel towards liquidation. This development could significantly impact JSW Steel, India&rsquo;s largest steelmaker by capacity, with analysts predicting a 10&ndash;15% production loss and a ₹4,000&ndash;4,500 crore shortfall in consolidated EBITDA. The steel giant was projected to post ₹42,000&ndash;45,000 crore in EBITDA for FY25.
Bhushan Power &amp; Steel contributes over 13% of JSW Steel&rsquo;s total production capacity, which stands at 34.2 million tonnes. Following the court ruling, JSW Steel shares were trading at ₹965.10 on the BSE, down 0.73% as of 11:33 AM on Monday.
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Source : The Economic Times

The Indian government is currently reviewing the Supreme Court's recent decision that nullified JSW Steel’s insolvency resolution plan for Bhushan Power & Steel, a major acquisition made in 2019 for ₹19,700 crore.

Govt Reviews Supreme Court Verdict on JSW Steel's Bhushan Acquisition, Final Decision Pending