About Mahender Kumar Khandelwal Insolvency Professional
I am Mahender Kumar Khandelwal is a professional registered insolvency and Chartered Accountant professional. Senior management and financial professional with wide experience spanning over 30 years in the entire continuum of structuring, financing through debt and equity instruments. Management and turnaround of Special situations and Insolvency across a wide spectrum of industries.
Led Restructuring and Resolution of large corporates (100+) across various sectors viz. Iron and Steel, Stainless Steel and utensils, System Packaging, Forging Industry, Pharma, Hotels, NBFC, Rice and Food Processing, Fertilizers, Biodiesel, Edible Oils, Biomass, Solar Panels, Power and Infrastructure, Textile, Education, Auto Component, Polymers, Electric Appliances, Plywood, Construction and Real Estate.
Started BRS practice in BDO & PWC as Leader & Partner successfully resolved 20 plus cases in Insolvency under my leadership ranging from 200 crores to 50,000 crores.
Before that, I was running my Boutique Consultancy firm in the name of Varrenyam Consultants Pvt Ltd.
Bhushan Power and Steel Limited.
Jul 2017 – Mar 2021
3 years
BPSL is the among first dirty dozen cases referred by lenders to insolvency. The company have a borrowing of more than 47000 crores from over 35 lenders. There has been an all-around growth and complete turnaround in the operations of the company since the commencement of CIRP.
When RP took control over BPSL, capacity utilization was meagre 47% with a production level of 82,000 MT per month and EBITDA loss. Due to a combination of proactive CoC and decisions taken by the RP for enhancement of capacity utilization.
During CIRP period production had increased to 200,000 MT and the company generated EBITDA of more than 4000 crores. Moreover, the company under the leadership of the RP/MP was able to reduce the statutory and worker liabilities besides improving working capital levels. The RP/MP further ensured smooth operations while managing 15,000 employees across 9 locations and provided increments to the employees. Some of the incomplete projects were completed by incurring additional CAPEX with COC approval. On the date of implementation, there was a working capital of more than 7500 crores in a cash balance of around 2500 crores.
During CIRP Period RP have handled enquiries/investigations from Regulatory Authorities i.e. SFIO, CBI, ED and GST for pre CIRP period including the closing of a draft forensic audit conducted during pre CIRP period including the closing of draft forensic audit report conducted during pre CIRP period.
Due to turnaround and enhanced operations, Resolution applicants improved their bid amount from initial12,000 crores to 19,800 crores and JSW successfully implemented the resolution plan and taken over control of BPSL. The Financial creditors have recovered around 42 percent of their dues in BPSL resolution.
Corporate Insolvency Resolution Process
KSK MAHANADI POWER COMPANY LIMITED Oct 2019 – June 2020
Hyderabad Area, India, Power Plant at Bilaspur 3600MW
KSK Mahanadi operates a coal-based power project with a nameplate capacity of 3600 MW. The company has 3 operational units and the rest are under various stages of construction. After commencement of CIRP process, we can operate all 3 units generating the highest load with 80% capacity utilization and PLF of about 76%.
With the existing operational and technical team, we have introduced various cost-cutting programs to bring in efficiency in operations. In the ongoing COVID-19 lockdown, we were running the plant at full capacity and supplying power to distribution companies despite cash flow constraints.
CIRP of KSK is substantially delayed as rail and water infrastructure of the power plant are housed in separate subsidiary companies and lenders have filed a consolidated application in NCLT. Getting investors interest in standalone Power plants is a challenge due to the unenviability of rail and water infrastructure.
Educomp Solutions Ltd.
September 2017 till date:
Till date running the company as going concerned and up to date in payment to employees, Statutory dues and operational expenses despite adverse situation due to covid 19. The Resolution Plan of EBIX Singapore was approved by the lenders and subsequently approved by NCLT. However, due to covid resolution applicants have filed an application in NCLT/NCLAT for withdrawal which NCLAT is not allowed. Resolution applicant filed in Supreme court, which is pending for final judgement.
Partner and Leader Business Restructuring Services
PwC Professional Services LLP Full-time
Apr 2018 – Aug 2019
1 year
Gurgaon
Joined as Partner & Leader of Business Recovery Services (BRS) practise at PwC India. PwC is among the top consultancy firm in India and a world leader in BRS & stressed asset resolution practices.
As a BRS Leader, I was leading a team of 70 dedicated professionals for the overall development and growth of the vertical. I have overseen and guided various CIRP assignments under various RP’s including Uttam Value Steels, Uttam Galva Metallics, Era Infra & Engineering, Parabolic Drugs, Diamond Power Infrastructure Ltd, Videocon group companies, KSK Mahanadi, Sukam Power Systems and PRIUS group of companies.
During this stint, I have developed strong and credible relationships with, stressed assets funds, international fund houses, ARCs and NBFC.
Partner & Leader- Business Restructuring
BDO India LLP Full-time
May 2017 – Apr 2018
1 year
New Delhi Area, India
BDO India LLP is the India member firm of BDO International. BDO India offers strategic, operational, accounting, tax & regulatory advisory and assistance for both domestic and international organizations across a range of industries.
As the leader and partner of BRS division, I was instrumental in establishing insolvency practice for BDO. Through persistent market development efforts, BDO was successfully awarded 3 out of the first dirty dozen insolvency cases. These cases were Jyoti Structures, ABG Shipyards and Bhushan Power and Steel Ltd. BDO also won 3 cases in the mid-market segment. I also developed a team of insolvency professionals, an execution team for claim verification, process advisory, operation and maintenance, sectorial compliances, Balance sheet and cash flow monitoring. My team was the first one to develop systems, procedures and SOP’s for insolvency practice. In the very first year of operations, we won more than Rs. 100 crore businesses.
Managing Director
Varrenyam Consultants Private LimitedSelf-employed
May 2004 – May 2017
13 years and From April 2021 to till date
New Delhi Area, India
A boutique financial advisory services firm specializes in the field of financial restructuring of distressed companies, settlement of debts, and resources mobilization. During this period, I have advised more than 100 corporates on financial restructuring and settlements ranging from 200 crores to 25000 crores.
My firm was a leading advisor in the Corporate Debt Restructuring process (CDR) and was instrumental in strategy formulation, scheme preparation, financial modelling, valuation and techno-economic studies. We were also involved in finding strategic investors/buyers for some of the companies where the post-restructuring plan required a change of management.
We also organised funding for distressed assets through ARC, special situation funds, NBFC’s.
Post-implementation of CIRP assignments I have restarted my above Boutique firm.
General Manager Finance
ROLLATAINERS LTD
Apr 2000 – Apr 2004
4 years
Faridabad, Haryana and Delhi
As finance head, my job profile included Treasury Management, funds control including collections and disbursements and supervision of banking transactions. I was directly reporting to the President, Executive Director and Board of Directors comprising top Professionals.
I was instrumental in implementing Financial and Operational Restructuring. The financial restructuring involved Rephasement of repayments and lowering of interest rates in the first phase, creating a vehicle for Venture fund investment and saving the company from BIFR. As a member of Board presentation to board on various restructuring options, Strategy formation and approvals of the board on various cost-cutting and restructuring options including shutting down.
I was also involved in strategy formation and approvals of the board on various cost-cutting and restructuring options including shutting down loss-making businesses. Redesigning of MIS Systems and assisting top management on various financial strategies. Consolidation and Centralization of Finance, Accounts and Purchase function. Business valuation, financial modelling, Audit Finalization – Statutory, Internal, Tax, Stock, Concurrent and due diligence.
Senior Manager-Finance & Accounts
Modi Rubbers Ltd
May 1997 – Mar 2000
2 yrs 11 months
Delhi Area, India
Part of Modicorp (ultimate holding company of B. K. Modi group companies), I was responsible for managing funds, control, overall supervision of accounts department of 13 companies in layers of holding and subsidiary structure.
I was also involved in Tax Planning, finalization of Accounts and interaction with Statutory, Internal, Tax Auditors and Auditors for valuation and Due Diligence. I also supported the group financial controller for credit rating in respect of US$ 50 Million ECB. Liaison with banks, financial institutions and taxation authorities.
Sr. Manager-Finance
SARDA PLYWOOD INDUSTRIES LTD
Mar 1992 – Mar 1997
5 yrs 1 mo
Delhi, India
As a part of new project division, worked on project evaluation and viability study of various projects and participated in the launching of a new project from grass root level to a concept paper for management, Joint Venture Partners, and term lending institutions, venture capital funds, banks and state-level institutions.
I was also responsible for the arrangement of export credit limits from banks and export documentation. Overall supervision of Accounts department, balance sheet finalization and other related activities.
