Unity Small Finance Bank (Unity SFB) emerged as the top bidder for the bankrupt Aviom India Housing Finance, offering a cash payment of ₹977.5 crore. The deal promises about a 71% recovery for the lenders.
Six companies showed interest in buying Aviom India Housing Finance. In the final auction, three bidders participated: Unity SFB, Areion (a fund backed by Omkara Asset Reconstruction Company) and Authum Investment & Infrastructure.
Unity SFB proposed an upfront payment of ₹977.5 crore, which is higher than the floor price of ₹800 crore set by the court‑appointed administrator. The offer includes about ₹3 crore earmarked for operational creditors and employees.
The bid translates to roughly a 71% recovery on the total claims of ₹1,363 crore admitted by the administrator. The biggest single claim comes from LIC Housing Finance (7.2% of total claims), followed by banks such as HDFC, Kotak Mahindra, and Tata Capital, each holding less than 3%.
Aviom India Housing Finance, an affordable‑housing lender, fell behind on loan repayments and was placed under the Insolvency and Bankruptcy Code (IBC) process in February. The National Company Law Tribunal (NCLT) supervised the resolution, and the Reserve Bank of India (RBI) appointed an administrator to run the auction.
Before the auction, six resolution plans were submitted. Northern Arc offered ₹625 crore, with ₹325 crore upfront, while the company’s founder, Kajal Ilmi, suggested a settlement of ₹1,363 crore paid over 26 months—an offer that lenders rejected.
Remember, this is perspective, not prediction. Do your own research before making any investment decisions.
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