PC Jeweller Says SBI Files Application To Withdraw Insolvency Petition

PC Jeweller Ltd. said its lender State Bank of India (SBI) filed an application to withdraw the insolvency petition against the company after the parties reached a settlement.

The state-run lender’s legal counsel filed the application before the principal bench of the National Company Law Tribunal in New Delhi on 29 April, seeking withdrawal of its insolvency petition against the company, the Indian jewelry retailer said in a stock exchange announcement.

The development came after both parties agreed for a settlement.

In March, PC Jeweller said SBI accepted the one-time settlement (OTS) proposal submitted by the company, without disclosing the financial details.

The New Delhi-based jeweler, which opted for OTS to settle the outstanding dues, had said the terms include cash and equity component, as well as release of securities and mortgaged properties.

SBI had filed a petition to initiate corporate insolvency resolution process against PC Jeweller before the New Delhi bench of the NCLT, claiming a default of 1,180.20 crore rupees ($141.44 million) as of 30 April 2023.

Note: $1 = 83.4411 Indian rupees

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