Dubli e Commerce transaction: Dubli has secured Rs1.5 lakh crore from the sale of assets
The bank said it has secured an additional Rs1,051 crore from its sale of its assets to Dubli-based PNB India, a subsidiary of the state-owned lender.
The assets include its asset management business, asset management group, its banking unit, investment banking and insurance arm.
The deal, worth Rs1 billion, is subject to final approval from the Reserve Bank of India.
The deal with PNB will see the bank take over the assets of its retail unit, which had assets worth Rs14,000 crore, and its private sector arm, which was worth Rs3.5 billion.
The bank’s retail unit has been at the centre of a dispute with the State Bank of Gujarat over the issue of asset management loans.
In September, it said it was unable to repay some of its loans as part of the dispute.
In its announcement, the bank said its private-sector unit had secured a loan of Rs1 lakh crore, but it was not immediately clear when this would be repaid.
“Dubli will be able to continue to support the assets under its private, retail, and investment banking business while also being able to secure loans for its banking and asset management businesses from other lenders,” it said.