M&A

M&A

Acre ARC buys over Rs.3,000-Cr of bad loans

Economic Times  

Hong Kong-based alternative investment fund Ares SSG-backed Acre Asset Reconstruction Co (ARC) has purchased loan portfolios from a clutch of banks and non-banking finance companies in multiple deals, aggregating to more than INR 3,000 crore, during the quarter ending June 2022. The deals expand the ARC's assets under management (AUM) to close to INR 12,000 crore. The acquired portfolios include INR 1,100 crore from Indiabulls Home Finance, consisting of home loans and loans to builders, and INR 1,200 crore of commercial vehicle loans from IndoStar Capital Finance. The transactions also include INR 580 crore of corporate loans from HDFC and INR 200 crore of loans from private equity player KKR-backed engineering company Walchandnagar Industries. Acre will recover or restructure these loans either by paying a fee to service providers or by working with the borrowers to find a workable repayment schedule.