Stock Report

PTC India Financial Services selects Resurgent Power Ventures Pte Ltd, Singapore as Lender's Nominee for Northern Indian Transmission Power Line Project

Posted On : 2021-11-15 09:17:44( TIMEZONE : IST )

PTC India Financial Services (PFS) has selected M/s Resurgent Power Ventures Pte Ltd, Singapore as its nominee to acquire 100% shareholding in NRSS XXXVI Transmission Limited's power transmission project in Northern India. Resurgent is 26% owned by Tata Power with ICICI Bank, Power Platform Ltd and Kuwait Investment Authority holding the balance 74% shareholding. NRSS XXXVI is a wholly owned subsidiary of M/s Essel Infra Projects Ltd (EIPL) which won bid to strengthen the transmission system in the Northern Region in the states of Rajasthan, Haryana and Uttarakhand along with LILO of Sikar-Neemrana 400 kV D/C at Babai, Rajasthan.

Says, Dr. Pawan Singh, MD&CEO, PTC Financial Services, "Resurgent was selected as lenders nominee to acquire 100% shareholding subsequent to a transparent global bidding process initiated by PFS to choose a new bidder by exercising its right to appoint a nominee under the "Substitution Rights of the Lenders" as per Transmission Service Agreement (TSA). The process is concluded and Letter of Intent (LoI) has been issued by PFS to the highest bidder. Subsequent regulatory approval is under process."

PTC India Financial Services Ltd (PFS) sanctioned a loan of Rs. 306 Crores to NRSS XXXVI Transmission Limited after it was awarded the project through competitive bidding initiated by Ministry of Power (MoP) through Bid Process Coordinator (BPC) REC Transmission Power Company Limited. As sole lender, PFS disbursed around Rs. 206.92 crores out of the sanctioned loan amount. The account started showing indication of stress in the second quarter of FY19-20 on account of liquidity issue in the promoter group and later on became an NPA.

In the process, PFS to receive resolution amount close to book value of the account. Apart from the above account, PFS during last three years i.e. FY18-19, FY19-20 and FY 20-21 has resolved 10 stressed accounts (principal outstanding cumulatively ~Rs. 1161 crores) through multi-pronged approach such as sale to ARC, resolution under IBC in NCLT, acquisition & sale of assets under SARFAESI and through One Time Settlement (OTS) offer from the promoter or new developer. PFS is also in advance stage of resolving another stressed account. With resolution of captioned account, there is huge improvement in PFS's Net NPA value.

Shares of PTC India Financial Services Limited was last trading in BSE at Rs. 20.10 as compared to the previous close of Rs. 20.45. The total number of shares traded during the day was 95204 in over 440 trades.

The stock hit an intraday high of Rs. 20.50 and intraday low of 20.05. The net turnover during the day was Rs. 1926829.00.