Photo credit: Ruby Sharma
ICICI Bank has invited expressions of interest (EoI) from asset reconstruction companies (ARCs), banks, non-banking financial companies (NBFCs) and others to sell their stressed exposure in Gujarat-based John Energy Ltd.
The private lender’s outstanding principal amount under the external commercial loan (ECB) to the borrower as of June 30 is $27.7 million. In addition, the bank has an exposure to the rupee-denominated term loan of Rs 6.05 million to the borrower.
The bank, in an advertisement in a financial daily on Monday, said that entities interested in acquiring ICICI Bank’s stressed exposure must submit EoI by August 28.
After submitting their expressions of interest, they will be required to sign a confidentiality agreement. They will then have two weeks to conduct due diligence on the asset.
John Energy is currently facing several litigations filed by ICICI Bank and other lenders before the National Company Law Appellate Tribunal (NCLAT). Earlier in March, the NCLAT had allowed the company to deposit Rs 254 crore along with 12 per cent interest as per the terms of its one-time agreement with ICICI Bank and Axis Bank and directed the Ahmedabad bench of the National Company Law Tribunal (NCLT) to decide on the insolvency petition filed against the company by Axis Bank.
Meanwhile, according to a May 16 order by the Ahmedabad bench of the NCLT, the insolvency petition filed by Axis Bank against John Energy has been dismissed.
John Energy engages in onshore drilling, natural gas compression, among other activities, and serves the upstream and midstream oil and gas industry. It has a fleet of 31 rigs, comprised of 18 drilling rigs, 13 workover rigs, multiple gas compression packages, and gas conditioning equipment.
First published: August 26, 2024 | 6:00 pm IS
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