IDBI Bank, PNB Housing Finance and term-lending institution Sicom are separately working on plans to sell almost the entire distressed loan books, replicating the sale processes undertaken by Yes Bank and Bandhan Bank last fiscal year to clean up their books, multiple people with knowledge of the matter said.
Yes Bank and Bandhan Bank have sold a majority of their distressed loan portfolio to asset reconstruction companies to start fiscal year 2024 with a clean slate.
IDBI Bank, PNB Housing Finance and Sicom plan to sell their distressed loan books, following the example of Yes Bank and Bandhan Bank. Special situation funds have initiated talks with IDBI Bank to acquire its non-performing loan book, with the bank demanding an all-cash deal. Meanwhile, PNB Housing Finance has invited offers to sell its loan book worth around ₹3,000 crore.
