A consortium of lenders led by Canara Bank, and comprising Canara Bank, Punjab & Sind Bank and Bank of Baroda, have resolved debt of Karanja Terminal & Logistics Private Limited, through the transfer of the lenders’ entire loan exposure to Prudent ARC Limited under the Reserve Bank of India (Transfer of Loan Exposures) Directions, 2021.

Shardul Amarchand Mangaldas & Co advised the consortium of lenders on this transaction. The transaction is notable for the successful structuring and execution of a multi-layered swiss challenge process for the assignment of a complex, infrastructure-backed debt portfolio, in strict compliance with the RBI guidelines. The mandate also involved intensive litigation before the Delhi High Court, where SAM successfully defended the lenders against challenges to the bid process, enabling timely closure of the transaction without any stay or disruption.

The transaction was led by Anoop Rawat (National Practice Head – Restructuring and Insolvency, Partner), with support from Arushi Chandra (Principal Associate), Snigdha Saraff (Associate) and Diksha Sharma (Associate).

The same team, with the addition of Charu Bansal (Principal Associate), represented the lenders before the Delhi High Court.