HINDNATGLS.NSE

Hindusthan National Glass & Industries Ltd.

Mumbai: Independent Sugar Corporation (INSCO), a part of Uganda-based Madhvani Group, has completed the acquisition of Hindusthan National Glass (HNG), India's largest glass bottle manufacturer, concluding a long-winding bankruptcy process that started four years ago.INSCO transferred ₹1,851 crore to creditors and also a 5% stake completing the resolution process."The resolution plan was implemented last month and the money transferred. It's a big relief for creditors since this account had many litigations and dragged on for many years," said a person familiar with the case.State Bank of India (SBI) is the largest creditor with 38% of the ₹3,786 crore admitted claims. It is set to gain about ₹703 crore in recovery.SBI did not reply to an email seeking comment. Creditors will also gain from the 5% equity offered by INSCO. Overall, INSCO's offer envisages a 49% recovery for creditors on total admitted claims, excluding the equity stake value.Total value of the resolution plan is expected to be ₹2,207 crore, including equity stake and ₹356 crore promised to be paid to creditors from future cash flows of HNG, taking the recovery percentage to 58%.HNG was admitted to bankruptcy in October 2021.