Millennium Post
Business

Banks raised Rs 1,000 cr via Kingfisher asset sales: SBI

State Bank of India (SBI) on Monday said that the consortium of lenders has recovered Rs 1,000 crore and is making all efforts to recover the remaining dues from beleaguered Kingfisher Airlines.

'KFA recoveries are going on. We have a substantial amount of recoveries. Total recoveries for banks are more than Rs 1,000 crore, SBI Chairman Pratip Chaudhuri said here.

The consortium of 17 banks, led by SBI, has an outstanding of over Rs 7,000 crore from the carrier. It has shares of listed entities like United Spirits as collateral which should realise Rs 500 crore. That apart, lenders have the brand Kingfisher as a security. Additionally, the consortium has a residual right over the securities held by Srei Infrastructure Finance, which comes to Rs 500 crore. Srei bought this from ICICI Bank in April last year.

SBI has the maximum exposure, over Rs 1,600 crore, to the Vijay Mallya-led airline. This is followed by PNB (Rs 800 crore), IDBI (Rs 800 crore), Bank of India (Rs 650 crore) and Bank of Baroda (Rs 550 crore).

Chaudhuri said that the consortium is making all efforts to recover the remaining debt given to the airlines. 'We are making all efforts. We have treated this loan 100 per cent provided for. It does not mean that we are not going after assets,' he said.
Next Story
Share it