Configure Problem Loan Aggregator: NARCL Sponsor Canara Contributes Up to 12% Capital

0
26

[ad_1]

Canara Bank chief executive Debashish Mukherjee later told ET that the public sector lender would be the sole sponsor at NARCL.

Synopsis

All equity investors other than Canary will hold less than 10% to ensure diversification of ownership. In the original plan, 11 shareholders were expected to own just over 9% each in the new venture, which is due to begin operations later this month.

Canara Bank will be the lead sponsor – and largest shareholder – of National Asset Reconstruction Company Ltd (NARCL), investing up to 12% of its capital, as the capital structure of the government-led problem loan aggregator will be changed to comply with the Reserve Bank’s Rule of India (RBI) requirements. NARCL, created under the Financial Assets Securitization and Reconstruction and Liens Enforcement Act (Sarfaesi), is likely to be

  • GIFT ARTICLE
  • FONT SIZE
  • TO RESCUE
  • PRINT
  • COMMENT

Sign in to read the full article

You received this Prime Story as a gift.

Already a member?

NEW IN ET PRIME

Comprehensive and detailed reports on 4000+ stocks updated daily

Subscribe now

NEW IN ET PRIME

Comprehensive and detailed reports on 4000+ stocks updated daily

Subscribe now

NEW IN ET PRIME

Comprehensive and detailed reports on 4000+ stocks updated daily

Subscribe now

Why ?

  • Exclusive articles, editorials and expert opinions from the Economic Times in 20+ sectors

  • Analysis of reserves. Market research. Industry trends on 4000+ promotions

  • Pure experience with
    Minimal advertising

  • Comment and participate with the ET Prime community

  • Exclusive invitations to Virtual events with industry leaders

  • Reliable team Journalists and analysts who can best filter signal from noise

[ad_2]

Source link