Mumbai, Sep 27 (IANS): IL&FS Financial Services (IFIN) has put its non performing asset (NPA) portfolio of approx Rs 4,300 crore up for sale as part of plan to bring down overall group level debt.

The sale of NPA would be done under Swiss Challenge with the new board already having received a binding bid.

Under this method of bidding, the seller who have already received a bid, publishes the bid and invite third parties to match or better it. The process also allows the entity which submitted the first bid then to match or better the best bid which comes out of the Swiss challenge process.

IFIN's sale of NPA book includes 62 accounts aggregating to total outstanding principal of Rs 4,297 crore. Bids have been invited from eligible applicants for purchasing the entire sale asset book comprising all of the 62 accounts.

The public process of inviting bids was launched on Monday and the sale would be concluded on cash consideration basis. The last date for submission of bids is October 19, 2021.

IFIN has an asset under management of around Rs 18,000 crore involving external and internal loans and investments.

The sale of external corporate loans is part of the resolution process of the overall debt.

IFIN is a 100 per cent subsidiary of IL&FS and is registered with the Reserve Bank of India as a systemically important non-deposit accepting non-banking finance company.

IL&FS group had total outstanding debt over Rs 90,000 crore. The new team is resolving some these through a strategy of asset sale and combing resources of other entities.