NCLT approves RP of Independent Sugar Corp to revive Hindustan National Glass & Industries

NCLT approves RP of Independent Sugar Corp to revive Hindustan National Glass & Industries

The Committee of Creditors (CoC) had approved it with an overwhelming 96.16 percent majority on 13 June

The National Company Law Tribunal (NCLT) has approved the resolution plan (RP) of Independent Sugar Corporation Ltd. (INSCO), a Madhvani Group company, for the revival of Hindustan National Glass & Industries Ltd (HNGIL).

Listed on the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE), the transition phase will run for 45 days, within which all transitional matters will be overseen to ensure a smooth handover.

Thereafter, full control of HNGIL will go to the Madhvani Group. The Monitoring Committee will step down, and a new board, nominated by the Group, will take charge. The Madhvani Group will implement its approved RP, including fresh investments, operational improvements, and measures, to put the company back on a growth strategy.

As per the order of the tribunal, the plan provides an investment of Rs.2,250 crore, comprising Rs.1,900 crore in upfront cash and equity valued at Rs.350 crore. The upfront cash will be paid within 30 days, with additional working capital infusion and equity issuance to CoC members to be completed within 90 days.

Meanwhile, INSCO has committed a Rs.1,000 crore capital expenditure over the coming years to rebuild furnaces and modernize equipment.

A spokesperson for INSCO stated, “INSCO, in collaboration with the Monitoring Committee, remains fully committed to ensuring a seamless transition and is engaging with all stakeholders. The company is confident that the process will pave the way for the successful revival and long-term sustainability of HNGIL, as INSCO takes over control of the Corporate Debtor upon completion of the 45-day monitoring period.”

With the tribunal’s order, the long-standing insolvency resolution of India’s largest glass bottle manufacturer enters the implementation stage.

The NCLT declared INSCO the Successful Resolution Applicant under Section 31 of the Insolvency and Bankruptcy Code (IBC), making the plan binding on all stakeholders. The moratorium under Section 14 was lifted and the Resolution Professional was directed to hand over the control to INSCO.

In June 2025, while the resolution process was at the acquisition stage, Madhvani Group promoter Shrai Madhvani met Prime Minister Narendra Modi to apprise him of the Group’s investment plans and the ongoing resolution of HNGIL.

The promoters had outlined the Group’s strategic commitment to invest Rs.10,000 crore in India over the next five years to boost industrial growth and employment generation.

Welcoming the plans, Prime Minister Modi assured government support and expressed satisfaction at the Group’s decision to re-establish its roots in India. He further highlighted the significance of the investment in strengthening Indo-African business relations.