Structure beats cash: the plan that gave creditors a share of the toll booth
Contingent consideration inside a court-supervised insolvency — the term sheet that solves the valuation deadlock.
Most resolution plans are a number: pay creditors X, take the company. The plan approved for GF Toll Road Private Limited is a term sheet. Beyond an upfront amount of ₹16.25 crore (including payments to operational creditors), the successful applicant — V K Gupta & Associates — committed financial creditors to 53% of gross toll revenue should the road's concession period extend beyond 31 May 2026, and 71% of net arbitration-award proceeds if pending arbitration lands in the company's favour, both on receipt.
This is contingent consideration tied to the asset's own upside — the structure private M&A uses routinely, appearing inside a court-supervised insolvency. It solves the valuation deadlock that kills marginal deals: the buyer doesn't overpay for an uncertain concession extension, the creditors don't give it away, and the dispute is settled by what actually happens.
For anyone pricing an infrastructure or litigation-heavy CIRP, this file is the template: bid the certain value in cash, share the contingent value by formula. A ₹10 crore performance security and a defined equity infusion completed the package. The full waterfall sits in the dossier.