Over 1,600 merger cases pile up before NCLT as insolvency takes precedence

Sources say the time taken by the tribunal to approve mergers is more than what high courts used to take

With the Insolvency and Bankruptcy Code (IBC) gaining precedence before the National Company Law Tribunal (NCLT), merger and amalgamation cases are beginning to pile up before the quasi-judicial body set up to fast-track issues related to domestic corporates.

Industry players say several companies, particularly small- and medium-sized, which had requisitioned for approval of mergers, have been facing challenges as the Bench is preoccupied with IBC cases.

Some of these firms are said to have approached market regulator Securities and Exchange Board of India and Ministry of Corporate Affairs seeking an intervention.

Earlier, companies had to approach high courts to seek approval for any