M&A

M&A

NARCL acquires Jaypee Infratech's loans worth Rs.9,234-Cr

Economic Times   Business Line  

In its first stressed asset acquisition, the National Asset Reconstruction Company Ltd (NARCL) has acquired bank loans totalling INR 9,234 crore of Jaypee Infratech. IDBI Bank, the lead bank to the consortium of lenders with an exposure of INR 3,750 crore, received INR 253 crore in cash and INR 1,434.5 crore (85% of the recovery) in the form of security receipts. The other lenders will receive cash and security receipts depending on their exposure to the company. NARCL, which was set up mainly by public sector banks last year, is consolidating select stressed assets (above INR 500 crore each) in the financial system for resolution.