Indian Bank Offers Rs 610 Crore Bad Loans for Sale

Indian Bank has provided interested investors with the flexibility to submit bids on individual accounts. Notably, some banks have adopted an open bidding process, inviting bids above the reserve price as the industry navigates through the complexities of distressed asset management.

In a strategic move to bolster its financial health, the state-run Indian Bank has unveiled plans to offload bad loans totaling ₹610 crore, aiming to streamline its books before the conclusion of this fiscal year.

The portfolio of distressed loans encompasses exposures to key entities such as real estate firm Ashvi Developers, LMJ International, and ACCIL Corporation. With an optimistic outlook, the bank anticipates recovering a minimum of one-fourth of the total loan value.

Prospective bidders keen on participating in this significant opportunity have until December 14 to submit their expressions of interest. The bank has scheduled an e-bidding event for December 27, as outlined in the bid document.

Breaking down the loan accounts, the offering includes ₹351 crore associated with Ashvi Developers, with a set reserve price of ₹97 crore. LMJ International’s dues of ₹162 crore are up for sale, featuring a reserve price of ₹12 crore, while ACCIL Corporation’s ₹88 crore liabilities come with a fixed reserve price of ₹30 crore.

Indian Bank has provided interested investors with the flexibility to submit bids on individual accounts. Notably, some banks have adopted an open bidding process, inviting bids above the reserve price as the industry navigates through the complexities of distressed asset management.

Follow and Connect with us: Twitter, Facebook, Linkedin, Instagram