New Delhi, February 6: Country's largest lender SBI has lined up six non-performing assets (NPAs) for sale to asset reconstruction companies (ARCs) to recover dues of nearly Rs 406 crore.
The six NPA accounts put up for sale to the ARCs are -- Patna Bakthiyarpur Tollway with outstanding of Rs 230.66 crore; Steelco Gujarat Ltd Rs 68.31 crore; GOL Offshore Ltd Rs 50.75 crore; Andhra Ferro Alloys Ltd Rs 26.73 crore; Guru Ashish Taxfab Rs 17.07 crore and Genix Automations Pvt Ltd Rs 12.23 crore.
"In terms of the bank's policy on sale of financial assets, in line with the regulatory guidelines, we place the following accounts for sale to ARCs/banks/ NBFCs/FIs, on the terms and conditions indicated there against," SBI said in the sale notices for these assets.
The e-auction for Patna Bakthiyarpur is scheduled to take place on February 23, and GOL Offshore on February 21. Genix Automations and Guru Ashish Texfab are to be auctioned on February 15, while e-auction for Steelco Gujarat and Andhra Ferro Alloys is scheduled for March 4.
SBI said these sales are subject to approval by the competent authority of the bank. The auction of Patna Bakthiyarpur Tollway, Steelco Gujarat Ltd, Andhra Ferro Alloys, Genix Automations and Guru Ashish Texfab will be held under Swiss Challenge Method, based on an existing offer in hand, who will have the right to match the highest bid, the lender said.
Under the Swiss Challenge Method, an interested bidder makes a proposal for a project (here asset). The seller puts the details of the project in public so that others can match it. After receipt of bids, the original contractor gets an opportunity to match the best bid.
The interested ARCs/banks/NBFCs/FIs can conduct due diligence of these assets with immediate effect, after submitting expressions of interest and executing non-disclosure agreements with the bank.
"We reserve the right not to go ahead with the proposed sale at any stage, without assigning any reason. The decision of the bank in this regard shall be final and binding," SBI said.
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