IndusInd International Holdings Ltd (IIHL), a Hinduja Group company, has officially assumed control of Reliance Capital, marking the conclusion of a three-year-long resolution process under the Corporate Insolvency Resolution Process (CIRP) of the Insolvency and Bankruptcy Code (IBC). The development follows the withdrawal of a petition by Reliance Capital’s lenders from the National Company Law Appellate Tribunal (NCLAT), signaling the successful implementation of IIHL’s resolution plan.
The Committee of Creditors (CoC) informed NCLAT that IIHL had fulfilled its obligations by transferring the required payment amounts as per the resolution plan, which included a bid of ₹9,650 crore. The tribunal granted the CoC’s request to withdraw its appeal against a previous National Company Law Tribunal (NCLT) order, paving the way for IIHL to take over Reliance Capital’s board and its key subsidiaries, including Reliance Nippon Life Insurance, Reliance General Insurance, Reliance Securities, and Reliance Asset Reconstruction.
The resolution process, initiated in November 2021 after the Reserve Bank of India (RBI) superseded Reliance Capital’s board due to governance concerns and payment defaults, faced several delays. Initially, IIHL was required to implement the resolution plan by May 27, 2024, but the timeline was extended to August 10, 2024, to address procedural challenges.
With the acquisition now complete, IIHL aims to revitalize Reliance Capital’s operations, focusing on bancassurance partnerships and digitization across its subsidiaries. This milestone marks a significant step in resolving one of India’s largest corporate insolvency cases and underscores the Hinduja Group’s commitment to strengthening its presence in the financial services sector.
