Seshasayee Paper and Boards Ltd. (SPBL) has emerged as the successful bidder for the acquisition of Servalakshmi Paper Ltd. (corporate debtor in liquidation) in an e-auction held in September 2022.
The National Company Law Tribunal, Chennai Bench, approved the application filed by the liquidator confirming the sale of Servalakshmi Paper’s assets as a going concern, SPBL said in a regulatory filing.
The NCLT order in favour of Seshasayee Paper and Boards was given on May 12, 2023. It was uploaded on the NCLT’s website on May 15, 2023.
Servalakshmi Paper mills was not in operation for past few years and their machinery will be refurbished/upgraded which will help SBPL to target for another 75000 MT of papers annually and it requires about 12 months minimum for full swing operations.
SPBL is in the business of manufacture and sale of printing and writing paper. It owns and operates an integrated pulp, paper and paper board mill in Erode and a paper mill in Tirunelveli.