IFCI sought bids to offload its debt and equity exposure of Rs 1,670 crore to Uttarakhand-based Sravanthi Energy. The sale is being held as per the Swiss challenge method, based on an existing offer in hand worth Rs 427.50 crore for the debt and equity exposure. IFCI’s outstanding debt exposure to the project stood at Rs 1,529.18 crore at the end of January, while the face value of its equity exposure was Rs 140.72 crore. Phase-I of the project, with a capacity of 225 megawatts (MW), is fully operational, while Phase-II, having an equivalent capacity, is around 85% complete physically, IFCI said in a sale document.
“The asset offered for sale consists of multiple project term loans and equity investments and their related security interest on pari-passu basis or otherwise, accrued interest, guarantee and fee, and other associated rights and privileges, if any. The sale will be on ‘as-is-where-is and what-is-where-is basis’ and without any recourse to IFCI,” the lender said in the sale document.
In November 2016, SBI Capital Markets (SBICaps) had issued a proposal for sale of lenders’ 51% stake in Sravanthi Energy’s Uttarakhand plant. The other lenders to the project, as per a presentation by SBICaps, were Axis Bank, Canara Bank, Punjab National Bank, Indian Overseas Bank and two of the erstwhile associates of State Bank of India.