The Insolvency and Bankruptcy Board of India has notified the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) (Amendment) Regulations, 2026, effective from the date of publication in the Official Gazette, amending the 2016 CIRP Regulations. The amendment revises the definition of “fair value” to clarify that it represents the estimated realizable value of the corporate debtor and its assets, including tangible and intangible assets along with underlying synergies, as on the insolvency commencement date. It mandates appointment of two sets of registered valuers within specified timelines, with a coordinating valuer in each set, and prescribes a structured methodology for determining fair and liquidation values, including provision for a third set where estimates differ significantly (25% or more). The regulations also introduce documentation requirements for valuation reports, expand disclosures in the information memorandum, particularly for receivables, attached assets, joint development agreements and real estate allottees, and mandate resolution plans to provide for allottees who have not filed claims.
INSOLVENCY AND BANKRUPTCY BOARD OF INDIA
NOTIFICATION
New Delhi, the 25th February, 2026
Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) (Amendment) Regulations, 2026.
F. No. IBBI/2025-26/GN/REG135.— In exercise of the powers conferred by section 196 read with section 240 of the Insolvency and Bankruptcy Code, 2016 (31 of 2016), the Insolvency and Bankruptcy Board of India hereby makes the following regulations to further amend the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) Regulations, 2016, namely:-
1. (1) These regulations may be called the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) (Amendment) Regulations, 2026.
(2) They shall come into force on the date of their publication in the Official Gazette.
2. In the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) Regulations, 2016, (hereinafter referred to as ‘the principal regulations’), in regulation 2, for clause (hb), the following shall be substituted, namely:-
“(hb) “fair value” means the estimated realizable value of the corporate debtor or the assets of the corporate debtor, as the case may be, if they were to be exchanged on the insolvency commencement date between a willing buyer and a willing seller in an arm’s length transaction, after proper marketing, and where the parties had acted knowledgeably, prudently, and without compulsion.
Explanation.- The estimated realizable value of the corporate debtor shall be computed after taking into account the total estimated realizable value of all the assets of the corporate debtor including but not limited to tangible and intangible assets, along-with their underlying synergies.”
3. In the principal regulations, in regulation 27, for sub-regulation (1), the following shall be substituted, namely: –
“(1) The resolution professional shall, within seven days of his appointment but not later than forty seventh day from the insolvency commencement date, appoint two sets of registered valuers to determine the fair value and the liquidation value in accordance with regulation 35.”
4. In the principal regulations, in regulation 35, for sub-regulation (1), the following shall be substituted, namely: ”(1) Fair value and liquidation value shall be determined in the following manner, namely:-
(a) the set of registered valuers appointed under regulation 27 shall comprise of one registered valuer for each asset class of the corporate debtor and within each set, one registered valuer shall be designated as the coordinating valuer for that set by the resolution professional, in consultation with the committee, for computation of the fair value of the corporate debtor;
Explanation- For the purpose of clause (a), “asset class” means the definition provided under the Companies (Registered Valuers and Valuation) Rules, 2017;
(b) the resolution professional shall facilitate a meeting wherein the registered valuers, including coordinating valuers, shall explain the methodology being adopted to arrive at the valuation, to the members of the committee, before computation of estimates;
(c) each registered valuer shall, after physical verification of the inventory and fixed assets of the corporate debtor, submit to the resolution professional and the coordinating valuer of their respective set, a report on the fair value of the assets of the corporate debtor and the liquidation value, computed in accordance with such valuation standards as notified by the Board through circular;
(d) the coordinating valuer of a set shall compute the fair value of the corporate debtor after considering the fair value of the assets as computed by the registered valuers within that set, along with their underlying synergies, and submit the same to the resolution professional;
(e) the resolution professional may appoint a third set of registered valuers for submitting an estimate of the fair value and the liquidation value, computed in the manner provided under this regulation, where:
(i) the two estimates of fair value of the corporate debtor or liquidation value are significantly different, or
(ii) the committee proposes to appoint a third set of registered valuers for reasons to be recorded in writing;
Explanation- For the purpose of clause (e), “significantly different” means a difference of twenty-five per cent or more in the fair value of the corporate debtor submitted by the coordinating valuer or the liquidation value, as the case may be.
(f) the average of the two closest estimates of the fair value submitted by the coordinating valuers shall be considered as the fair value of the corporate debtor; and
(g) the average of the two closest estimates of the liquidation value submitted by registered valuers in each asset class shall be considered as the liquidation value of the corporate debtor.”
5. In the principal regulations, in regulation 35, after sub-regulation (1), the following shall be inserted namely:-
“(1A) A registered valuer shall prepare the valuation report and maintain such documentation as per the format notified by the Board through circular.”
6. In the principal regulations, in regulation 36, in sub-regulation (2),
(i) in clause (a), for the word and mark ‘values!, the word and mark `values;’ shall be substituted.
(ii) after clause (a), the following clauses shall be inserted, namely:-
“(aa) Details of receivables of the corporate debtor, including trade receivables, inter-corporate receivables, and receivables arising under any contract;
(ab) Details of joint development agreements and other similar collaboration or co-development arrangements, including rights, obligations, and interests of the corporate debtor arising thereunder;
(ac) Details of assets which are under attachment by enforcement agencies, including particulars of the assets attached, the authority which has attached and the status of such proceedings; “
(iii) in clause (j), after the words ‘pre-existing facilities’, the mark ‘;’, shall be inserted.
(iv) after clause (j), the following clause shall be inserted, namely:-
“ja) details of all allottees, including their names, amounts due, and units allotted, whose claims are either reflecting in the books of accounts of the corporate debtor or in the records of the Real Estate Regulatory Authority as established under the Real Estate (Regulation and Development) Act, 2016 (16 of 2016), but have not submitted their claims to the resolution professional; “
(v) in clause (k), after the words ‘financial statements’, the mark ‘;’ shall be inserted.
(vi) in clause (ka), in the proviso, for the mark ‘.’, the mark and word ‘; and’ shall be substituted.
7. In the principal regulations, after regulation 38, the following regulation shall be inserted, namely: –
“38A. Treatment of allottees not filing claims.
In respect of a real estate project, where the information memorandum includes the details of the allottees who have not submitted their claims, the resolution plan shall provide for treatment of such allottees.”
RAVI MITAL, Chairperson
[ADVT.-III/4/Exty./712/2025-26]
Note: The Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) Regulations, 2016 were published vide notification No. IBBI/2016- 17/GN/REG004, dated 30th November, 2016 in the Gazette of India, Extraordinary, Part III, Section 4, No. 432 on 30th November, 2016 and were last amended by the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) (Seventh Amendment) Regulations, 2025 published vide notification No. IBBI/2025-26/GN/REG133, dated the 22nd December, 2025 in the Gazette of India, Extraordinary, Part III, Section 4, No. 819 on 23rd December, 2025.
