The National Company Law Appellate Tribunal (NCLAT) is preparing to review an appeal that questions the approval of a Rs 919 crore bid made by a consortium led by Oberoi Realty for the acquisition of Hotel Horizon in Mumbai. The appeal, which has been accepted by the Principal bench of the NCLAT, comes in response to a prior decision made by the National Company Law Tribunal (NCLT). In light of this appeal, the NCLAT has issued an interim order prohibiting the creation of any equity in favor of the successful bidders until the matter is resolved.
Hotel Horizon, situated in the upscale Juhu area of Mumbai, occupies a prime piece of real estate, encompassing approximately 7,500 square meters with a desirable sea-facing view. This strategic location enhances its potential for future development, making it a subject of significant interest within the real estate sector. The appeal has been initiated by former promoters of the hotel, as well as suspended board members, who allege that the resolution plan was predicated on exaggerated financial claims. They emphasize that the plan undermines their interests and fails to comply with a previous NCLT directive that had effectively reduced the hotel’s outstanding loan from Rs 1,612 crore to about Rs 643 crore.
The resolution plan was initially approved by the Mumbai bench of the NCLT on January 29, a decision that permitted the consortium, which includes Shree Aman Developers and JM Financial Properties and Holdings, to proceed with the acquisition. However, the promoters argue that the actions of the appointed Resolution Professional have been inconsistent with earlier NCLT rulings, specifically a July 17, 2025 order that sought to address the financial liabilities of Hotel Horizon. As a result, the promoters have contested the fairness and legality of the resolution plan, raising important questions about the integrity of the bidding process.
The NCLAT has scheduled to hear this appeal along with other related cases on February 25, 2026. In its interim order dated February 2, 2026, the NCLAT articulated that any action taken under the disputed order would be contingent upon the appeal's outcome. The tribunal has reiterated that no equity should be allocated to the consortium pending the resolution of these appeals. As these legal proceedings unfold, they underscore the complexities and ongoing disputes surrounding major real estate transactions in India, particularly in high-value markets like Mumbai. The resolution of this appeal will be pivotal in shaping the future ownership and development landscape of Hotel Horizon.