Delhi, July 31: Today is the last day for submission of interest by bidders. In the next month the winning bidder’s name is likely to be announced. According to the sources of banking, around six players have shown their interest for the stake and the Adani group entity is one of the favorites to win the bid. Sources also said that Power Finance Corporation is also believed to be interested for the same.
PFS, which is registered with the Reserve Bank of India as an “infrastructure finance company”, lends primarily to sectors such as renewable energy, transmission, road HAM (hybrid annuity model) and other annuity projects. Also, in the power sector, it provides non-fund-based products and services to companies.
Adani Group is betting big on both the infrastructure and finance services space. But when questions were asked, Adani group denied commenting on it. For PFC, which is a specialised financial institution in the power sector, the PFS acquisition could be synergistic.
On July 17, 2020, PTC India said it wanted to divest its controlling stake in PFS and invited potential purchaser(s)/investor(s) to submit their interest for the same. PTC India’s Board of Directors had originally recommended the proposal regarding dilution of the company’s holding in subsidiary PFS to the shareholders in August 2019.
“Subsequent to delays on account of the ongoing Covid-19 pandemic, requisite internal approvals have been received to re-initiate the process of exploring opportunities for monetizing the company’s investment in PFS,” the company said in a recent filing.
