In a first, NCLT allows Synergies Dooray merger with subsidiary under IBC

SDAL was into manufacturing of aluminium alloy wheels before it was stopped its operations

Hyderabad-bench of National Company Law Tribunal (NCLT) has approved an insolvency resolution plan for Synergies Dooray Automotive Limited (SDAL), which used to supply aluminium alloy wheels to global car makers such as Ford, in a first ever order issued under the Insolvency and Bankruptcy Code (IBC), 2016.

Visakhapatnam-based aluminium alloy wheels maker Synergies Castings Limited (SCL), which is a related party, will merge SDAL in a scheme of amalgamation as part of the insolvency resolution plan, as per the NCLT orders.

On January 23, NCLT had admitted the corporate debtor's (SDAL's) petition seeking IR under 30(6) and 31