Yes Bank share price in focus on sale of a stressed loan exposure in Katerra India to Prudent ARC for ₹203 crore
Yes Bank has received cash consideration of ₹203.40 crore in relation to the same, it said. On January 20, Yes Bank had invited Expression of Interest (EOI) for sale of identified stressed loan exposures through auction under Swiss Challenge Method. This was being undertaken by the bank in accordance with the provisions of Reserve Bank of India’s Master Direction on Transfer of Loan Exposures, 2021.
Also Read: Stock market today: Day trading guide for Nifty 50 to Sensex; nine stocks to buy or sell on Wednesday — March 20 “The Bank has now concluded the transfer of exposure of the Bank in Katerra India Private Limited to Prudent ARC Limited, an asset reconstruction company, and has received cash consideration of ₹203.40 crore in relation to the same," Yes Bank said in a stock exchange filing on Tuesday. Katerra India has a debt of ₹521 crore with the bank. The company was admitted to corporate insolvency last year.
With the sale of the stressed asset, Yes Bank has recovered around 39% of its exposure to Katerra India. Also Read: Nifty 50, Sensex today: What to expect from Indian stock market in trade on March 20 Katerra India is the Indian arm of US-based Katerra whose US and Cayman island entities filed for Chapter 11 bankruptcy protection in 2021. In December 2022, Yes Bank had sold its stressed assets loan portfolio worth a whopping ₹48,000 crore to JC Flowers Asset Reconstruction (JC Flowers ARC).
That was by far the single largest transaction of sale of non-performing assets (NPA) in the country’s banking system. On Tuesday, Yes Bank shared ended 1.96% lower at ₹22.97 apiece on the BSE. Catch Stock Market Live Updates hereMilestone Alert!
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