An entity linked to ArcelorMittal India is the front runner for Indian Steel Corporation that was admitted for debt resolution by the bankruptcy court after proceedings were initiated by Bain Capital-Piramal Enterprises backed India Resurgence Asset Reconstruction Company, said people aware of the matter. Naveen Jindal-promoted Jindal Steel NSE -0.14 % & Power is another bidder seeking to buy the steel company, people said.
Lenders to the steelmaker, admitted by tribunal last October, are hoping to receive at least about 40% of their dues, one of the persons said. The resolution professional, Ajay Joshi, received four expressions of interest last week of which A M Mining Pvt Ltd, an affiliate of ArcelorMittal India is one of the applicants, people said. Others include Jindal Steel & Power, Metro Global Pvt Ltd and Khandwala Finstock, they said.