Money & Banking

IDBI Bank-led consortium invokes SARFAESI Act to sell GTL’s secured assets

BL Mumbai Bureau | Updated on: Jun 19, 2022

Lenders have exposure aggregating to ₹7,250 cr with GTL

IDBI Bank, on behalf of the consortium of lenders, has invited bids/offers for the sale of secured assets of GTL Ltd under the provisions of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act) to recover dues aggregating about ₹7,250 crore as on December-end 2021.

The reserve price for GTL’s eight assets/properties spread across the Mumbai Metropolitan Region, Raigad and Pune districts aggregates to ₹242.50 crore, according to the notice issued by the bank.

GTL provides various network operations and maintenance-related services to telecom operators and tower companies.

The range of services offered by GTL also includes energy management solutions to telecom operators for optimizing their energy usage in telecom operations and and maintenance services for such networks.

“Due to the defaults committed by GTL in terms of the financing documents executed by GTL with lenders and in accordance with the rights of the lenders arising therefrom and applicable laws...the lenders have decided to dispose of the Secured Assets (Immovable Properties) of GTL,” per the process document issued by IDBI Bank.

The sale of secured assets of GTL via e-auction is on “As is where is”, “As is what is & whatever there is” and ‘without recourse” basis, the Bank said. The start price at the e-auction will be the highest quote or reserve price, whichever is higher.

According to the process document, the Bidders may carry out their comprehensive due diligence in respect of the secured assets of GTL, including any dues relating to these assets and for necessary approvals required from the Maharashtra Industrial Development Corporation Ltd. (MIDC) and/or any other requisite entities.

Published on June 19, 2022
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