The National Company Law Appellate Tribunal (NCLAT) has approved the takeover of Mumbai-based housing company Radius Estate and Developers Pvt. Ltd. by Adani Good homes. This decision resulted in the waiver of 96 percent of the Rs.1,700 crore debt owed by Radius Estates to HDFC Bank, other lending banks, and home buyers. Adani will acquire the company for Rs.76 crore.
Adani Good homes is a subsidiary of Adani Infrastructure and Developers, and the take over occurred after Radius Estates failed to complete its residential property projects, leading to defaults with creditor banks. In December 2022, the Bombay Bench of the National Company Law Tribunal (NCLT) sanctioned Adani Group's resolution plan, which received approval from over two-thirds of the lending institutions.
Despite objections from lenders ICICI Prudential Venture Capital Fund and Beacon Trusteeship, the Appellate Tribunal upheld the NCLT's decision. Homeowners who collectively paid Rs.800 crore to Radius Estate were granted the right to choose homes at no extra cost following Adani Good homes' acquisition.