Business Business: Future Lifestyle Fashions Ltd, the retail business of debt-ridden Future Group, has found a new buyer. The lenders of the company, which is undergoing bankruptcy proceedings, have approved the proposal of Space Mantra and Sandeep and Shalini Gupta Group. The company announced in the stock exchange that the committee of creditors of Future Lifestyle Fashions has voted in favor of the group’s resolution plan. Future Lifestyle Fashions has not disclosed the details of the programs approved by the lenders. Let us tell you that the share price of this company is currently Rs 2.11. About five years ago this stock was trading at Rs 495. In such a situation, the share price fell by more than 99%. In November 2023, the share price reached Rs 3.60. This is the highest level of 52 weeks. At the same time, in April 2024, the share price fell to Rs 1.81. This is the lowest price in 52 weeks. Future Lifestyle’s corporate insolvency resolution process (CIRP) period ended on August 26, 2024. As per Section 12(1) of the Insolvency and Bankruptcy Code (IBC), CIRP must be completed within 180 days. Of course, this period can be extended to 330 days including the period of legal disputes. If this does not happen, the company will be dissolved. State Bank of India (SBI) has the highest voting power in the committee of creditors with 22.51%.
Future Lifestyle Fashion had announced in June 2023 that it had received claims of Rs 2,155.53 crore from 12 financial creditors in the insolvency proceedings initiated against the company.
