The bank has shared a list of 65 such accounts with asset reconstruction companies (ARCs) that are seeking initial interest from them.
The lender has asked the ARCs to submit an expression of interest for the loan accounts along with an indicative value that they wish to acquire, said one of the persons cited above.
Bank of India officials declined to comment.
Bank of India’s outstanding loan to Srei Equipment Finance Limited is ₹650 crore and to . Is
According to a note circulated by the bank, ₹377 crore.
These are among the two big accounts in the list of 65 defaulters or stuck advances. ET had earlier reported that following requests from potential bidders, Srei’s admins have extended the deadline for accepting the resolution plan by a month to July 30.
The list also includes ₹535 crore given to McNally Bharat Engineering Company Ltd., ₹202 crore to Vandana Vidyut Ltd. and Rs.183 crore given to the company.
basic infrastructure. Other big-ticket loan accounts on the list are those of MBL Infrastructure, Steel & Power, Visa Power and Crane Ltd.
Another person aware of the development said Bank of India aims to clean up its books to improve its valuation and attract capital.
in May,
() also, circulated a list of 168 aggrieved loan departments with total outstanding loans of Rs 31,363 crore. About a third of the portfolio consisted of loans from the power sector.
Following the provisions, boiNet non-performing assets (NPAs) for FY22 were 2.34% of advances, totaling Rs 9,851 crore. Over the same period, the average net NPAs for PSU banks is 1.55%, as submitted by the banks to the finance ministry. The bank’s gross non-performing loans stood at 10% as against the industry average of 5.9% for FY22.
According to RBI’s Financial Stability Report, the gross NPAs of scheduled commercial banks fell to a six-year low of 5.9% in March 2022 and may fall to 5.3% by March 2023.