Bank of India Invites Bids for ₹1.85 Billion Sale of BS Ltd’s NPA

Bank of India is looking to sell its ₹1.85-billion non-performing loan to BS Ltd. and has invited expressions of interest from eligible participants. The loan will be auctioned under the Swiss Challenge method.

Bidders must start with a minimum offer of ₹525.0 million, followed by bids in multiples of ₹26.2 million. Interested parties need to submit their expressions of interest by Apr. 28, 1600 IST. All bids must be made on a 100% cash basis.

Bank of India has saw improvement its asset quality. In the December quarter, gross NPAs dropped to 3.69% from 4.41% in the previous quarter and 5.35% a year earlier. Net NPAs eased to 0.85% from 0.94% in September and 1.41% in the year-ago period.

The bank’s net profit jumped to ₹25.17 billion in the December quarter, helped by lower provisions and higher other income. Provisions and contingencies were down 39.4% at ₹3.04 billion, while fresh slippages fell sharply to ₹10.45 billion from ₹23.57 billion in July-September and ₹11.72 billion in the same period last year.