the week in review
SBI SEES 50% RECOVERY FROM 12 LARGE BAD LOAN ACCOUNTS
State Bank of India (SBI) expects to recover half of the assets that turned sour in the initial 12 large bad loan accounts that were identified for bankruptcy resolution, chairman Rajnish Kumar said. “The recoveries will be around 50% and most banks are holding provisions in excess of 50%. It may differ from bank to bank, but at SBI, our estimate is that we will be able to write back part of the provisions if everything goes well,” Kumar said in an interview on Tuesday at Mint’s Mumbai office.
BIRLA’S HINDALCO SCOOPS UP ALERIS IN $2.58 BILLION DEAL
With an eye on increasing its share of sales to the automotive segment, billionaire Kumar Mangalam Birla on Thursday announced that his aluminium and copper producing giant Hindalco Industries Ltd intends to acquire Ohio-based aluminium sheet-maker Aleris Corp. at an enterprise valuation of $2.58 billion. The acquisition multiple is at 7.2 times at an expected Ebitda of $360 million.
NCLT ORDERS LIQUIDATION OF JYOTI STRUCTURES
Jyoti Structures Ltd has earned the dubious distinction of being the first among the 12 large corporate defaulters identified for insolvency resolution under a new law to head for liquidation after a bankruptcy court rejected the resolution plan submitted by a group of wealthy investors. The Mumbai bench of the National Company Law Tribunal (NCLT) on Wednesday rejected the plan submitted by resolution professional (RP) Vandana Garg and ordered her to file a liquidation report.
LIBERTY HOUSE GETS NCLT NOD FOR BID TO ACQUIRE AMTEK AUTO
The Chandigarh bench of the National Company Law Tribunal (NCLT) on Wednesday approved the resolution plan by single bidder Liberty House to acquire the assets of debt-laden Amtek Auto Ltd. The company was among the first list of 12 large bad loan accounts that the Reserve Bank of India (RBI) identified for insolvency resolution. The division bench of justice RP Nagrath and technical member Pradeep R Sethi approved the resolution plan following an insolvency plea filed by Corporation Bank against the auto component manufacturer.
WIPRO WINS $1 BILLION IT DEAL FROM ALIGHT SOLUTIONS
Wipro Ltd has won a $1 billion contract, the biggest such order in four years, from Alight Solutions, the former benefits administration and human-resources outsourcing business of Aon Plc, according to two people familiar with the development.