Videocon to get better offers after Covid-19 blows over: Promoters

Even before the decision to liquidate the group companies is taken, the committee of creditors must open all resolution plans received so far, said the promoters.

The promoters of Videocon Industries (VIL) have asked banks to defer any further action on the company’s bankruptcy proceedings till the Covid-19 pandemic blows over and it gets better valuation.

Any hasty step will further dilute the valuation of the company with assets worth crores across India and overseas, VIL’s promoters told banks and the company’s debt resolution professional in a recent communication.

The promoters said the liquidation of Videocon Group companies would not only cause grave harm and prejudice to its stakeholders — whether they be financial creditors, operational creditors, or employees — but will also derail the entire insolvency process