A Joint bid most likely for DHFL retail
Lenders have decided to float a combined bid for DHFL’s retail and wholesale books after fresh funding starts in the third week of this month. If the company fails to get interest for the combined asset, it will float separate bids, said a person with the direct knowledge of the matter. SBI and Union Bank of India have appointed SBI Capital as the commercial transaction advisor and Cyril Amarchand Mangaldas as transaction advisor for the deal. DHFL is the first financial services company to be admitted to the bankruptcy courts after the rules were changed. The Reserve Bank of India superseded the board and appointed an administrator. RBI appointed R Subramaniakumar as the administrator and appointed a panel to advise him to resolve Rs 85,000-crore debt. “The lenders have decided to float a combined bid for retail and wholesale businesses,” said an executive, who is part of the committee of creditors (CoC). “It is decided that lending will restart from the third week of January. If bids do not come for the combined business, CoC will call for separate bids for retail and wholesale businesses.” A resolution plan under RBI’s norms for resolution of stressed assets has its own set of challenges. DHFL has a diverse set of creditors which are governed by multiple regulatory authorities.
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