Thursday, October 03, 2013

IDBI Bank hopeful of recovering 80% of Kingfisher dues

Mumbai: Public sector lender IDBI Bank is hopeful of recovering up to 80 per cent of its Rs 800 crore exposure to Kingfisher, even as the revival of the grounded airline remains uncertain.
"We are quite hopeful of recovering our dues from Kingfisher Airlines. In all, we expect to recover 70-80 per cent of our total loans to the airline," a senior IDBI Bank official told PTI here.
The official said the bank's total exposure stands at around Rs 800 crore. "We have already recovered Rs 70-80 crore by way of selling pledged shares," the official added.
IDBI Bank is one of the five lenders in the SBI-led core group, which was set up early this year to recover over Rs 7,500 crore in principal alone from the Vijay Mallya-promoted airline. The company has not been servicing these loans since January 2012.The airline took loans from as many as 17 banks.
02/10/13 PTI/Fiancial Express