Indian Overseas Bank to sell 92 NPAs worth Rs 13.5 crore, shares plunge

State-owned Indian Overseas Bank (OCB) announced to sell 92 non-performing loans worth Rs 13,471.68 crore through an e-auction on May 28. The public lender has invited expression of interest (EOI) from asset reconstruction Companies (ARCs), Standard Chartered Banks (SCBs), and other eligible transferees to participate in the auction process by May 13.

“Indian Overseas Bank has published sale notification pertains to the sale of 92 NPA loans, collectively amounting to an aggregate Book Outstanding of Rs 13,471.68 crores, offered on a portfolio basis in 2 lots through e-auction under the open auction method,” the bank said in a statement.

The first portfolio includes 46 accounts financed through consortium arrangements, 3 accounts under Multiple Banking arrangements, and the other two accounts as lone banking ventures.

Furthermore, 38 accounts in the portfolio are duly accepted to the jurisdiction of NCLT. According to the report, the second portfolio includes 41 single banking accounts.

The bank’s Gross NPA (GNPA) levels plummeted from 11.69 per cent as of March 31, 2021, to 3.90 per cent by December 31, 2023.

On Monday, May 6, shares of BOI were trading at Rs 64.69 a piece, down 2.33 per cent on BSE at 2.04 PM.