Reliance Capital second auction postponed to April 26

Also, lenders are hopeful of Torrent Investments, Hinduja Group's IIHL, and Oaktree Capital participating in the bidding, while the Piramal-Cosmea Financial consortium is unlikely to participate, sources in the know told CNBC-TV18.

For a fresh round of bidding, the lenders decided to set the base bid at Rs 9,500 crore on a net present value basis, with a minimum cash component of Rs 8,000 crore.

The deadline to complete the resolution process of Reliance Capital has been extended multiple times in the past. This bidding post-auction is being contested by Torrent Investment in the Supreme Court as it was the highest bidder as per the auction.

The Reserve Bank of India (RBI) on November 29, 2021, superseded the board of Reliance Capital in view of payment defaults and serious governance issues. The RBI appointed Nageswara Rao Y as the administrator in relation to the Corporate Insolvency Resolution Process (CIRP) of the firm.

Reliance Capital is the third large non-banking financial company (NBFC) against which the central bank has initiated bankruptcy proceedings under the Insolvency and Bankruptcy Code (IBC). The other two were Srei Group NBFC and Dewan Housing Finance Corporation (DHFL).

The central bank subsequently filed an application for initiation of CIRP against the company at the Mumbai bench of the National Company Law Tribunal. In February last year, the RBI-appointed administrator invited expressions of interest for the sale of Reliance Capital.