Moneycontrol PRO
UPCOMING EVENT:Attend Traders Carnival Live. 3 days 12 sessions at Rs.1599/-, exclusive for Moneycontrol Pro subscribers. Register now!
you are here: HomeNewsBusiness

IL&FS Fin Services plans to sell 62 NPAs accounts worth Rs 4,297 crore via Swiss Challenge method

Under the Swiss Challenge method, the highest bid in the first round of bidding becomes the base price for bidders, including for the highest bidder, to place counter-bids in the second round of bidding.

September 27, 2021 / 06:29 PM IST

IL&FS Financial Services (IFIN), wholly-owned subsidiary of Infrastructure Leasing and Financial Services, on Monday placed 62 non-performing asset (NPA) accounts worth Rs 4,297 crore on sale.

The lender said the sale of NPAs will be done through the "Swiss Challenge" route.

Under the Swiss Challenge method, the highest bid in the first round of bidding becomes the base price for bidders, including for the highest bidder, to place counter-bids in the second round of bidding. The asset goes to the highest bidder in the second round.

“Applications are invited from eligible entities for the purchase of identified loans provided by IFIN to third party borrowers (i.e. entities that do not form part of IL&FS Group) that are categorised as non-performing assets (Sale Asset Book) (Potential Transaction),” IFIN said in a public announcement.

The sale asset book comprises 62 accounts with a total outstanding principal of Rs 4,297 crore. The eligible applicants will have to submit a binding bid for purchasing the entire sale asset book comprising all 62 accounts, it said.

Close

IFIN also said it has received a binding offer (initial bid) from an initial bidder for the asset book.

“IFIN proposes to undertake a "Swiss Challenge" process, using the initial bid as the base offer,” the advertisement stated.

The potential transaction will be conducted on a full upfront cash consideration (100 per cent cash consideration) basis, it said.

The binding bid should be submitted by 5 pm on October 19, 2021, it said.
PTI

stay updated

Get Daily News on your Browser
Sections
ISO 27001 - BSI Assurance Mark