NCLT Ahmedabad Approves ₹2,775 Crore Inox Neo-Authum Resolution Plan For Wind World India

“..we are of the view that the commercial wisdom of the CoC in evaluating and approving a resolution plan is paramount and cannot be interfered with by this Adjudicating Authority, except to the limited extent of ensuring compliance with Section 30{(2) of the Code and for effective implementation. No material has been placed by any person to indicate that the decision of the CoC suffers from perversity or illegality.”

Wind World India Limited was admitted into the Corporate Insolvency Resolution Process (CIRP) in February 2018 following a plea by IDBI Bank. The process witnessed multiple resolution attempts, including an earlier plan by the Suraksha Consortium, which was eventually rejected in 2022.

Appeals were filed pursuant to the rejection of the plan before the NCLAT. After withdrawal of appeals before the NCLAT in 2025, the CoC resolved to re‑run the resolution process, inviting fresh expressions of interest.

Inox Neo Energies and Authum emerged as the successful resolution applicants after extensive negotiations and revisions. Their plan was first approved in February 2026 with an 87.56% voting share, but Enercon GmbH, a key operational creditor, objected to the treatment of its admitted claim of Euro 19 million, which had initially been valued at a notional Rs 1.

The NCLT, in its order dated 11 May 2026, directed that Enercon's claim be properly admitted and that the resolution plan safeguard rights relating to disputed technology, subject to the outcome of pending litigation before the Supreme Court.

The addendum submitted by the consortium on 20 May 2026 complied with these directions by updating Enercon's admitted debt, clarifying that recoveries from arbitral awards would accrue to the corporate debtor, and ensuring that no proprietary rights beyond those legally available would be conferred on the resolution applicant.

The revised plan, incorporating an addendum dated 20 May 2026, was subsequently approved by the CoC with a 96.47% majority.

The resolution plan envisages a total outlay of Rs 2,775 crore, comprising Rs 1,875 crore as an upfront payment on the implementation date and Rs 900 crore as restructured debt, payable to financial creditors within three months thereafter.

The plan also included an allocation of Rs 25 crore for workmen and employees, covering provident fund, gratuity, and ESI dues in full. Rs 1 crore allocation was included in the plan for other operational creditors.

The plan also provides for infusion of equity and debt by Inox, supported by funding commitments of Rs 3,100 crore from global and domestic investors and a purchase consideration of Rs 350 crore by Authum for identified assets. Capital reduction provisions ensure that Inox becomes the sole shareholder post‑implementation.

The Resolution Plan also provides for setting up an Implementation and Monitoring Committee to supervise the management of affairs of the Corporate Debtor. The Implementation and Monitoring Committee is to comprise of two representatives of the assenting Financial Creditors, two representatives of SRA and the Monitoring Agent.

It was also submitted that the SRA will not be taking over two subsidiaries of the Corporate Debtor, namely Wind World (India) (Infrastructure) Private Limited and Wind World Wind Farms (NW) Private Limited. The RP further submitted that the CIRP of the Corporate Debtor has been carried out in strict compliance of the IBC and the rules and regulations.

The bench noted that the RP had complied with the provisions of the Code and the CIRP Regulations as he had prepared and circulated the provisional and final list of Prospective Resolution Applicants (PRAs), issued the Request for Resolution Plan (RFRP), evaluation matrix, and facilitated access to the Information Memorandum and Virtual Data Room (VDR) for due diligence purposes.

The bench further noted that there was no procedural infirmity or irregularity as to the resolution process. The bench noted that the resolution plan ensured payment to operational creditors, including workmen and employees and to dissenting financial creditors in accordance with the liquidation waterfall. It was also noted that the plan contained provisions for management of the affairs of the Corporate Debtor post approval.

Further, it was observed that the combined capabilities of the consortium had enhanced the feasibility and viability of the Resolution Plan. It was also noted that the plan was unconditionally capable of being implemented and that it appropriately addressed Enercon's concerns and safeguarded disputed technology rights.

The bench observed, “In view of the foregoing detailed observations and findings, this Tribunal holds that the Resolution Plan along with Addendum submitted by the Consortium of Inox Neo Energies Limited and Authum Investment & Infrastructure Limited is complete 'in all respects, compliant with the provisions of the Insolvency and Bankruptcy Code, 2016 and the CIRP Regulations, and is therefore fit for approval under Section 31(1) of the Code.”

Accordingly, the bench approved the resolution plan under Section 31(1) of the IBC, making it binding on all stakeholders, and the moratorium was to cease upon approval.

For Applicants: Senior Advocate Mihir Thakore with Advocate Neha Naik