CFM ARC sells JBF Industries assets to Reliance Industries entity

Ahmedabad-based CFM Asset Reconstruction Company has sold the secured assets of JBF Industries, a polyester manufacturer, by way of private treaty under the Sarfaesi Act (the Securitisation and Reconstruction of Financial Assets and enforcement of security interest act) to an entity owned by Reliance Industries.

RIL was the lone bidder for the company with a Rs 825-crore offer as against the dues of Rs 2,100 crore of banks. For Reliance, acquiring JBF Industries assets makes sense as the company is engaged in the production of polyester products, including bottle grade plastic chips, textile-grade polyester yarn, and polyester filament yarn,