Punjab National Bank (PNB) has announced its decision to sell its entire stake in M/s India SME Asset Reconstruction Company Limited (ISARC), an associate company of the Bank.
- A definitive agreement (Supplemental Agreement) was entered into on 13 May 2025 for the sale.
- The expected date of completion of the sale/disposal is by the end of Q1, FY2025-26.
- The consideration received from this sale is a cash consideration of ₹34,04,61,000 for 2,09,00,000 shares at ₹16.29 per share.
- The transaction does not constitute a related party transaction.
- RBI vide their letter dated March 25, 2025 has granted approval for Change in Sponsor and equity raise from M/s Authum Investment and Infrastructure Limited, which is relevant to ISARC.
- The details of ISARC's turnover/income and net worth for FY2023-24 are as follows (Amount in INR Crores):
- Capital: ₹129.68 crore
- Assets: ₹130.11 crore
- Income: ₹18.08 crore
- Expenses: ₹7.43 crore
- Profit before tax (PBT): ₹10.65 crore
- Profit after tax (PAT): ₹9.37 crore