In a major development, the Supreme Court has rejected JSW Steel’s plan to take over Bhushan Power and Steel. The court said the resolution plan submitted by JSW was not legal and should not have been approved by the Committee of Creditors (CoC).
As a result, the Supreme Court has ordered that Bhushan Power and Steel should now go into liquidation.
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This decision is a big blow for JSW Steel, which had been trying to acquire Bhushan Power and Steel through the insolvency process. Following the news, JSW Steel’s share price fell sharply. The stock dropped more than 7% during the day and has fallen over 8% in the past month.
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Experts say this ruling could also affect how future cases are handled under the Insolvency and Bankruptcy Code (IBC).
