IDBI Bank, on behalf of a consortium of lenders, has invited bids to sell Rs 1,582.19 crore of stressed loans they have in Nagarjuna Fertilizers and Chemicals Ltd (NFCL).
In a notice uploaded on its website on November 15, IDBI Bank said it intends to transfer the stressed loan "on all cash basis" at a reserve price of Rs 810 crore, along with "100 percent protection" for outstanding bank guarantees of Rs 87.67 crore.
Out of the total stressed loan exposure of Rs 1,582.19 crore, IDBI Bank has a total fund-based principal outstanding amount of Rs 568 crore. The State Bank of India (SBI) has Rs 576.91 crore, whereas, the ICICI Bank has Rs 196.70 crore.
The other banks in the consortium include UCO Bank, Bank of India, Indian Overseas Bank and Punjab National Bank.
As per the notice, November 17 is the last date for submitting the Expression of Interest (EoI) for the takeover of the stressed loans. On the same day, the preliminary information memorandum will be issued to those who have submitted the EoIs.
The last date for the submission of bids by the interested parties is December 3, it further stated.
The notice of the consortium of lenders comes amidst a stay order by the National Company Law Appellate Tribunal (NCLAT) against the order of the National Company Law Tribunal at Hyderabad initiating corporate insolvency resolution process against NFCL following an application by an operational creditor.
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