British ministers reject Sanjeev Gupta’s bailout plea for $234 mn: Report

British ministers have rejected a request from mining magnate Sanjeev Gupta for a 170 million pound ($234.36 million) emergency loan to prevent his group, GFG Alliance, from collapsing, the Financial Times reported on Sunday.

GFG, a holding company for Gupta’s assets, was the biggest recipient of financing from Greensill, a British financing company, which filed for insolvency earlier in March.

The British government wrote back to Gupta formally rejecting the request last week due to multiple concerns, the FT reported, citing people familiar with the situation.

A GFG spokesman declined to comment.

A government spokesman did not comment specifically on the rejection of GFG’s loan request mentioned in the FT report, but said the government was “closely monitoring” developments related to Gupta’s Liberty Steel.

Gupta said earlier this month that the conglomerate had been in talks with administrators of its former financial backer Greensill on a so-called standstill agreement.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.

We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor