KP Advisory Services, the family office of the promoter Ravi Penmetsa, acquired the five-star property last week in Coimbatore under the corporate insolvency process, the people cited above said.
Lenders unanimously voted for KP Advisory Services’ Rs 185-crore plan. The resolution professional (RP) had admitted Rs 196 crore in claims, including trade creditors and banks. The offer from the family office of Gland Pharma’s ex-promoters equates to a recovery of 94% for creditors.
Indian Overseas Bank, the sole financial creditor of the bankrupt company, recovered the entire claim of Rs 115.4 crore as per the approved plan.
KP Advisory did not respond to ET’s query.
Radisson Blu is located in the heart of Coimbatore and has 135 rooms. Ravi Penmetsa made a fortune in 2016 by selling his stake in the pharma company at various stages. The promoters initially sold a part of its stake in Gland Pharma to Evolvence India Life Sciences Fund, which later sold this stake to KKR Private Equity. Later, Penmetsa family members, KKR and other shareholders sold 74% stake to Fosun Pharma for $1.09 billion in July 2016. The family has sold most of its remaining stake in Gland Pharma’s IPO in 2020. Penmetsa, through Gland Celsus Biochemicals and other firms, also acquired debt-laden Hyderabad-based KSK Energy for Rs 11 crore through liquidation process in June 2021.With regards to the GBJ Hotels, the resolution professional (RP) held a Swiss challenge auction among bidders in December 2022 wherein KP Advisory and Bommidala participated. In the first round, Bommidala offered Rs 175 crore while KP Advisory offered Rs 184.8 crore in the second round. Thereafter KP Advisory was declared highest bidder.
The division bench comprising Sameer Kakar and Ramalingam Sudhakar approved the KP Advisory plan in August. The successful applicant concluded the transaction last week.
The promoter of GBJ Hotels had challenged the sale of the hotel under corporate insolvency process at the appellate tribunal claiming that there is no financial insolvency and that it was a mere delay in payments. Promoters also argue that the offer by winning bidders is lower than the fair value. However, the National Company Law Appellate Tribunal (NCLAT) dismissed his appeal in an order dated October 10.
