+
PNB Housing Finance, others in push to offload bad loans
ECONOMY & POLICY

PNB Housing Finance, others in push to offload bad loans

Separately, IDBI Bank, PNB Housing Finance, and term-lending institution Sicom are working on plans to sell almost the entire distressed loan books, replicating the sale processes used by Yes Bank and Bandhan Bank to clean up their books last fiscal year.

Yes Bank and Bandhan Bank have sold the majority of their distressed loan portfolios to asset reconstruction companies in order to begin fiscal year 2024 on a fresh slate. Last quarter, special situation funds began talks with IDBI Bank to acquire a non-performing loan book worth up to 25,000 crore. The discussions between the lender and the fund houses are in their early stages. IDBI Bank has made it clear that it will accept only an all-cash deal, implying that only those with deep pockets should bid.

PNB Housing Finance has invited bids to sell a loan book worth approximately 3,000 crore, which includes 7-8 large accounts. Last week, Alvarez and Marsal, which is advising the mortgage lender, shortlisted four to five fund houses for the portfolio sale.

Sicom, the government-owned term lending institution, invited bids on April 5 to sell 48 accounts with total debts of 9,724.5 crore. On April 17, Sidbi invited expressions of interest for the portfolio, which consists of five loan pools. On May 25, the lenders have proposed an e-auction. If the anchor bidder's offer is accepted, these lenders have proposed a Swiss challenge auction.

Last year, Yes Bank sold almost ₹48,000 crore to JC Flowers Asset Reconstruction Company, while Bandhan Bank sold ₹13,800 crore in two tranches to Kotak Mahindra Bank-backed Phoenix ARC. L&T Finance sold ₹2,707 crore of accounts to Avenue Capital-backed Asset Reconstruction Company of India.

Also Read
Patcher: A software tool for updating infrastructure as a code
Sonu Nigam purchases two offices in Andheri, Mumbai

Separately, IDBI Bank, PNB Housing Finance, and term-lending institution Sicom are working on plans to sell almost the entire distressed loan books, replicating the sale processes used by Yes Bank and Bandhan Bank to clean up their books last fiscal year. Yes Bank and Bandhan Bank have sold the majority of their distressed loan portfolios to asset reconstruction companies in order to begin fiscal year 2024 on a fresh slate. Last quarter, special situation funds began talks with IDBI Bank to acquire a non-performing loan book worth up to 25,000 crore. The discussions between the lender and the fund houses are in their early stages. IDBI Bank has made it clear that it will accept only an all-cash deal, implying that only those with deep pockets should bid. PNB Housing Finance has invited bids to sell a loan book worth approximately 3,000 crore, which includes 7-8 large accounts. Last week, Alvarez and Marsal, which is advising the mortgage lender, shortlisted four to five fund houses for the portfolio sale. Sicom, the government-owned term lending institution, invited bids on April 5 to sell 48 accounts with total debts of 9,724.5 crore. On April 17, Sidbi invited expressions of interest for the portfolio, which consists of five loan pools. On May 25, the lenders have proposed an e-auction. If the anchor bidder's offer is accepted, these lenders have proposed a Swiss challenge auction. Last year, Yes Bank sold almost ₹48,000 crore to JC Flowers Asset Reconstruction Company, while Bandhan Bank sold ₹13,800 crore in two tranches to Kotak Mahindra Bank-backed Phoenix ARC. L&T Finance sold ₹2,707 crore of accounts to Avenue Capital-backed Asset Reconstruction Company of India. Also Read Patcher: A software tool for updating infrastructure as a code Sonu Nigam purchases two offices in Andheri, Mumbai

Next Story
Real Estate

Shriram Properties Launches ‘Codename: The One’ in Bengaluru

Shriram Properties (SPL), a leading real estate developer focused on the mid-market and mid-premium segments, has announced the launch of its latest residential project under the banner “Codename: The One” in Bengaluru’s Electronic City corridor. This feature-rich gated community will offer 340 spacious 2- and 3-BHK residences, with a total saleable area of approximately 5 lakh square feet and an estimated revenue potential of over Rs 3.5 billion. The project is expected to be developed over a span of more than three years.  Strategically located near the Bommasandra Metro stat..

Next Story
Resources

India Warehousing Show 2025 Closes with Strong Global Presence

The 14th edition of the India Warehousing Show (IWS) 2025 concluded successfully at Yashobhoomi (IICC), Dwarka, drawing participation from over 300 exhibitors across 15 countries and welcoming 15,000+ visitors. Recognised as India’s leading platform for warehousing and logistics excellence, IWS 2025 offered a comprehensive display of cutting-edge automation, sustainable warehousing solutions, and next-gen supply chain technologies. The show was inaugurated by Shri Pankaj Kumar, Joint Secretary – Logistics, DPIIT, Ministry of Commerce and Industry, Government of India. In his opening a..

Next Story
Equipment

MHIET Launches 450kW Gas Cogeneration System with H₂ Co-Firing

Mitsubishi Heavy Industries Engine & Turbocharger (MHIET), part of the Mitsubishi Heavy Industries Group, has launched a new 450kW gas cogeneration system, the SGP M450, jointly developed with Toho Gas Co.,. The system supports hydrogen co-firing at up to 15 vol per cent, with no loss in performance or reliability.  The system is currently available in the Japanese market, and has been developed from the existing GS6R2 city gas engine platform. Key modifications were made to the fuel gas and engine control systems to enable hydrogen co-firing.   Verified through de..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?