25-07-2025
KTPL promoters offer more than the bid amount to settle debt
Mumbai: The promoters of Karanja Terminal & Logistics (KTPL) have offered its lenders led by Canara Bank ₹472 crore for a one-time settlement of the company's ₹590 crore debt, people familiar with the matter said. This offer betters Prudent Asset Reconstruction Company's bid that bankers received through a Swiss auction, they said.
ADVERTISEMENT Promoters led by Nikhil Gandhi had made an initial offer of around ₹430 crore, which was put through a Swiss challenge auction last month. Under the Swiss challenge auction, counteroffers are invited on the original bid. The original bidder is then given the opportunity to match the best counteroffer, a process used by lenders to maximise their recovery. "In this case, Gandhi's bid which was originally received was put through the challenge process. Prudent ARC bettered that offer with a ₹460 crore bid but Gandhi has bettered it with a ₹472 crore offer," said a person.
Emails sent to Gandhi and Canara Bank did not elicit any response. KTPL operates a port and logistics facility at Karanja Creek in Navi Mumbai, in proximity to the industrial hinterland and the major ports of JNPT and Mumbai Port. Good connectivity to state and national highways, no evacuation restrictions, less congestion and upcoming infrastructure projects in the vicinity provide an opportunity for bulk cargo for these projects.
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