Vardhman Polytex Limited has reached an amicable settlement with M/s. Bhagwati Cotton Company, resolving insolvency proceedings initiated against the textile manufacturer before the National Company Law Tribunal (NCLT), Chandigarh Bench.
The settlement relates to outstanding dues forming the subject of an application filed by Bhagwati Cotton Company, an Operational Creditor, under Section 9 of the Insolvency and Bankruptcy Code (IBC), 2016.
In a stock exchange filing dated 12th November 2026, Vardhman Polytex confirmed the settlement, following its earlier disclosure on 29th October 2026 regarding the initiation of insolvency proceedings.
The company stated that it would take the necessary steps in accordance with the mutual understanding reached between the parties and keep the stock exchanges informed of any further material developments.
However, the company did not disclose the monetary value of the settlement or the specific terms agreed upon by the parties.
Vardhman Polytex Limited is an Indian textile manufacturing company engaged in producing cotton yarn and other textile products. The company is part of the Oswal Group and operates in the textile sector, supplying yarn and related materials to customers in domestic and international markets.
Its manufacturing operations are based in Punjab, with activities covering textile production and associated processes.
