The law tribunal has directed potential investors to submit a plan for resurrecting the company.
The National Company Law Tribunal (NCLT) has invited bids for Sadananda Maiya's food venture Maiyas Beverages and Foods. The law tribunal has directed potential investors to submit a plan for resurrecting the company.
Earlier this year, Maiyas Beverages and Foods was referred to NCLT following its inability to raise enough funds to continue operations. The Maiya family owns 40% of the shares in the company while the rest has been held equally between private equity firms Peepul Capital and Ascent Capital.
The company offers products such as snacks, sweets, instant mixes, spices, ready-to-eat foods and frozen foods.
NCLT has invited bids from three categories of investors including private/public limited company with a net worth of Rs 200 crore; PE funds/institutional investors with Rs 200 crore or more of assets under management; individual investors or consortium of HNIs with a net worth of Rs 125 crore.
A source close to the development said, "The company in its hey days did a business of Rs 22 crore a month. This has dramatically reduced to Rs 5 crore in the last two months. There is hope for a revival."