New Delhi: Punjab National Bank, a government run PSB, has put up for sale nearly a dozen Non Performing Assets (NPA) to recover dues of over ₹1,234 crore.
The bank has invited bids from Asset Reconstruction Companies (ARCs)/ NBFCs/ banks/ financial institutions for 11 NPA accounts.
The accounts having the bad loans include Visa Steel, which has irrecoverable dues of ₹441.83 crore, IndBarath Energy (Utkal) ₹414.23 crore, Aster Pvt Ltd ₹113.57 crore and Om Shiv Estates ₹100.16 crore.
The sale is on 100% cash basis, PNB said in a notification. The bidders can evince their interest by September 12.
The government lender has asked the prospective bidders to expedite the process of due diligence. The lender said it will make all possible efforts to bring copies of documents at one place for verification.
The last date to submit the bids is 20 September 2019 and the auction will be open on 21 September.
On Thursday, the board of PNB had given in-principle approval for amalgamation of Oriental Bank of Commerce and United Bank of India with the lander.
Last week of August, the government had announced the series of mergers involving 10 state-owned banks, a move which will reduce the number of state-run banks to 12 from 27 in 2017. Under this arrangement, Oriental Bank of Commerce and United Bank would be merged with the PNB to create India's second largest lender after State Bank of India.