IL&FS arm, IFIN, to auction around Rs 5,000 crore worth of corporate loan book

IL&FS Financial Services (IFIN), the NBFC arm of troubled IL&FS group, plans to auction its corporate loan book worth Rs 4,785 crore, according to a company advertisement. These are loans belonging to 70 corporate accounts.

The transaction will be conducted on a full cash consideration. Eligible applicants will have to submit a binding bid for purchasing the entire sale asset book comprising of all 70 accounts, the company said.

IFIN is a 100 percent subsidiary of IL&FS and is registered with the RBI as a systemically important non-deposit taking NBFC.

Interested parties need to submit the binding bid by January 8, 2021, the company said.

Also Read: IL&FS used every trick in the book to mislead regulators, round-trip loans: Forensic audit

IL&FS group plunged into a financial crisis in 2018 following a severe liquidity crunch.

After the company, one of the major names in the NBFC industry, failed to meet its payment obligations, the government appointed an expert panel to take charge of the rescue efforts under the leadership of Uday Kotak.