IL&FS's financial services arm IFIN has put NPA accounts of Essar Shipping, Reliance Naval & Engineering, Unitech, Parsvnath Developers, Ansal API among others on the block. These are among corporate loans of 70 companies worth Rs 5,000 crore that have been put on the block and will be put through a bid process. The deal will be on cash consideration basis with the beleaguered group seeking one consolidated bid for the entire portfolio. Applicants have to submit binding bids by next month.
Audit regulator National Financial Reporting Authority (NFRA) has said that Deloitte Haskins and Sells LLP's appointment as statutory auditor of IL&FS Financial Services Ltd (IFIN) for FY18 was illegal for breaching the ban on hiring firms with direct or indirect business relationships for audit. A spokesperson for Deloitte India said they have contested the findings, adding that the firm has been cooperating with NFRA and that it will look into the order. The regulator said in a supplementary audit quality review report on 7 December that Deloitte was not eligible to be appointed as auditor due to a violation of Companies Act provisions barring certain persons as auditors. The provisions disallow those with "subsisting business relationships" or who offer certain non-audit services directly or indirectly to the company or its associates
The special audit of two key companies of Srei, a leading infra and equipment finance house, will examine their possible links with IL&FS group — India's largest shadow bank whose collapse shrank the bond market and unsettled regulators in the summer of 2018. The audit, directed by the Reserve Bank of India (RBI), will track the end use of money lent by Srei firms against 'letter of awareness' issued by the IL&FS group. Letter of awareness that is similar to 'letter of comfort' is not legally enforceable and (unlike a guarantee) is not captured in the annual accounts of the issuer.
Global institutional investors including the Blackstone Group, Brookfield Asset Management, Singapore sovereign wealth fund GIC, Ivanhoe Cambridge and Mapletree Investments have shown interest in buying the Infrastructure Leasing & Financial Services (IL&FS) corporate headquarters in Mumbai's Bandra-Kurla Complex (BKC), said people with knowledge of the development. Domestic investors such as Godrej Fund Management and realty developer RMZ Corp are also said to have indicated their interest in the marquee property "While the financial bids are yet to be placed, the deal is estimated to fetch around Rs 1,500 crore, given the status and location of the property It has definitely generated significant interest in the investor
IL&FS Group has received Justice (Retd) DK Jain’s approval for sale of Chenani Nashri Tunnelway Limited (CNTL) to Cube Highways and Infrastructure Pte Ltd (CUBE). CNTL is a wholly owned subsidiary of ITNL (an IL&FS company) that, jointly along with its nominees, holds 100% equity of CNTL that has been classified as an amber company.
Infrastructure Leasing and Financial Services (IL&FS) group has received Justice DK Jain’s approval to sell the Chenani Nashri Tunnelway Limited (CNTL) to Cube Highways for a total consideration of Rs 3900 crore. This would help resolve total debt of Rs 4910 crore in which the lender’s would take a 20% haircut. The company will now seek approval from NCLT and NHAI to complete the sale. The proceeds of the sale will be distributed in accordance with the resolution framework, IL&FS said.
Infrastructure Leasing and Financial Services on Tuesday said it has received the approval of Justice (retd) D K Jain - who is overseeing the debt-laden group's resolution process - for sale of Jorabat Shillong Expressway to Sekura Roads Ltd. Sekura Roads is backed by Edelweiss Infrastructure Yield Plus, an infrastructure category-I alternative investment fund. JSEL is a wholly-owned subsidiary of IL&FS Transport Network (ITNL). It has been classified as an amber company.
Justice (Retd) DK Jain has approved sale of Jorbat Shillong Expressway Limited (JSEL) to Sekura Road Limited (SRL). JSEL is a wholly owned subsidiary of ITNL (an IL&FS Company) that, jointly along with its nominees, holds 100% equity of JSEL and it has been classified as an amber company. Sekura Road Limited has bid Rs 916 crore for the entire 100 per cent stake in JSEL.
IL&FS on Thursday said it has received interest for acquiring its energy advisory subsidiary. The subsidiary IL&FS Energy Development Company Limited (IEDCL), will be sold as a going concern, the company said. IL&FS owns 95.94 per cent in IEDCL.
IL&FS Financial Services (IFIN), the non-banking financial company arm of Infrastructure Leasing and Financial Services (IL&FS), is looking to sell its external corporate loan book through an auction. The process of inviting bids will commence next week. IFIN said in a statement that Rs 5,000 crore worth of corporate loans will be sold. The external loan book includes credit to over 70 firms that have turned non-performing assets.