NCLT approves okays Dhanuka Laboratories' resolution plan for Orchid Pharma

Creditors to get Rs 1,116 crore, which is lower than liquidation value

The National Company Law Tribunal (NCLT), Chennai Bench, has approved the resolution plan of Dhanuka Laboratories for debt-ridden Orchid Pharma. The tribunal rejected the application filed by Accord Life Spec, another resolution applicant.

Creditors would get Rs 1,116 crore, including the Rs  570 crore quoted by Dhanuka as well as cash. The liquidation value of the company was Rs 1,300 crore. The earlier resolution plan by Ingen, which was approved by the NCLT in the first attempt, was for a total of Rs 1,490 crore.

The selection of a prospective plan by the committee of creditors (CoC) had met with