SC verdict on Binani Cement's takeover a relief for its former promoter

Lenders not to invoke guarantee against Braj Binani; UltraTech boosts production capacity

The Supreme Court (SC) verdict allowing UltraTech Cement to take possession of the stressed Binani Cement has been a boon not only for UltraTech, but also for Braj Binani, the promoter of Binani Cement. He was a guarantor to EXIM Bank and SBI Hong Kong. 

Under the proposal from rival bidder, the Dalmia Bharat-led consortium, EXIM Bank would have recovered 72.59 per cent of its Rs 6.2-billion claim and SBI Hong Kong would have got 10 per cent of its Rs 370-million claim.

Sources aware of the developments in the case said if Dalmia Bharat’s plan was approved, both banks