The Kolkata bench of bankruptcy court has approved the resolution plan submitted by the National Asset Reconstruction Company Limited (NARCL) for the twin Srei companies, namely, Srei Equipment Finance and Srei Infrastructure Finance. However, NARCL has yet to obtain the approval of the Reserve Bank of India’s (RBI) for the same, post which, this acquisition would be the first for NARCL.
The ARC offered Rs 55.55 billion on a net present value (NPV) basis for the assets. The offer by NARCL will equate to a recovery of 17 per cent.