Lenders seek extension on resolution proceedings against Videocon Oil

Bankers said they expected the valuation of Videocon Oil's assets in Brazil to double by next year due to rising oil prices

Led by State Bank of India (SBI), lenders have sought the Reserve Bank of India’s (RBI’s) permission to suspend debt resolution proceedings against Videocon Oil Ventures, a subsidiary of Videocon Industries, for two years. 

A senior public sector banker, who confirmed the consortium's request to the central bank, said, "Going by the February 12 circular, we had to finalise the resolution plan by August 27, which was not possible as it is a large account with many complex issues.”

Bankers said they expected the valuation of Videocon Oil's assets in Brazil to double by next year due to rising oil