RBI's first defaulter list: Liquidation value of steel firms at Rs 540 bn

The bidders will have to make their offers above this floor price, with upfront cash to be adjusted against bank debt

The liquidation value — a guiding factor for bidders — for five steel companies on the Reserve Bank of India’s first list of non-performing assets has been pegged at Rs 540 billion, compared to their debt of Rs 1.4 trillion.

The liquidation value for Monnet Ispat & Energy is Rs 23.85 billion, while that of Electrosteel Steels is Rs 29 billion. Bhushan Steel’s value is pegged at Rs 150 billion, and Bhushan Power & Steel at Rs 120 billion. Essar Steel’s value is the highest at Rs 220 billion, considering it’s the largest asset on sale with a capacity of