NCLT Clears Nuvoco Vistas' ₹18 Billion Resolution Plan For Vadraj Cement

The Mumbai bench of the National Company Law Tribunal has approved Nuvoco Vistas Corp. Ltd.’s ₹18 billion resolution plan for Vadraj Cement Ltd., marking a key step in the insolvency resolution of the debt-ridden cement company.

NCLT said the resolution plan meets all requirements under Section 30(2) of the Insolvency and Bankruptcy Code, 2016 and applicable IBBI regulations.

As per the approved plan, Vadraj Cement will become a wholly owned subsidiary of Vanya Corp. Pvt. Ltd., an implementing entity that will infuse the resolution amount via equity, quasi-equity, or debt. Vanya Corp., a wholly owned unit of Nuvoco Vistas, will eventually be merged into Vadraj Cement under the terms of the plan.

In 2024, the NCLT had admitted an insolvency plea by Oriental Bank of Commerce (now Punjab National Bank) against Vadraj Cement. Nuvoco’s resolution plan was unanimously approved by the committee of creditors in January.