NCLT approves Dalmia's acquisition of Murli Industries with conditions

India’s Dalmia Cement (Bharat) has received approval from National Company Law Tribunal (NCLT) Mumbai regarding its offer to save Murli Industries from liquidation. However, the assembly has outlined certain conditions for the deal.

The liquidation value of Murli’s assets is INR2.31bn (US$33.6m) while Dalmia has offered INR4.02bn for the acquisition of its 3Mta cement manufacturing business in Maharashtra. The offer will see banks receive INR3.8bn out of the INR27.83bn due, according to The Economic Times.

As part of the requisite conditions, the NCLT has refused to supply approval for reinstating the company’s lapsed mining leases and Dalmia will have to request these from the Maharashtra government. A further clause allowing Dalmia to modify or withdraw its plan at any stage was rejected, which makes an order from the NCLT necessary for any modifications to take place.

Dalmia has been requested to submit an acceptance report acknowledging these changes by 12 July.