SBI to auction NPAs worth Rs. 6,169 crore
State Bank of India (SBI) will auction non-performing assets worth Rs. 6,169 crore to asset reconstruction companies (ARCs), banks and NBFCs between March 22 and 30, 2019.
The accumulated value of the assets being auctioned is Rs. 6,169 crore but the actual realization will depend on bids from buyers and the reserve price. The bank will put on sale assets worth Rs. 3,645 crore of some large accounts like Balaji Industries and India Steel Corporation on March 26. The other companies on sale include Kohinoor Planet Construction, Mittal Corp and BMM Ispat.
SBI’s NPA recovery mechanism has borne fruit with the company’s non-performing assets (GNPAs) declining by Rs. 18,099 crore to stand at Rs. 1,87,765 crore as of December 2018.
The company’s gross NPAs improved to 8.71per cent of gross advances in December 2018 from 10.35 per cent in December 2017. Net NPAs improved to 3.85 per cent for the quarter ended December 2018 as against 5.61 per cent in December 2017.
On Wednesday, SBI was trading at Rs. 302.7 per share, down 0.12 per cent on the BSE.