Key Transaction Details
- Company has received a binding bid from an Asset Reconstruction Company for the transfer of stressed loan portfolio (Financial Assets)
- Bid amount: Rs. 96 Crores
- Principal outstanding of the stressed loan portfolio: Rs. 209.10 Crores
- Transaction is being executed in accordance with the approval of the Board of Directors
Process Methodology
- Company shall follow Swiss Challenge Method for further bidding
- Final decision on sale of the referred assets shall be taken as per extant guidelines and the relevant policy of the Company
Financial Impact
The potential transaction involves the transfer of financial assets with Rs. 209.10 crore principal outstanding for a consideration of Rs. 96 crore, representing a potential recovery rate of approximately 45.9% on the principal amount.