Specified Undertaking of Unit Trust of India (SUTTI) has offered its entire 39.3 per cent stake in Mumbai-based Asset Reconstruction Company (ASREC) to its existing shareholders, including Bank of India (BoI).
The valuation was still being discussed and the stake for each shareholder would depend on their plans and approvals, sources said.
SUTTI has offered a 10-11 per cent stake to BoI, which is the second largest shareholder of ASREC. Indian Bank, Allahabad Bank and Andhra Bank have 11.22 per cent stake each in the entity.
Another public sector bank official said three banks — BoI, Allahabad Bank and Andhra Bank — might hold over 20 per cent stake each in the company.
Life Insurance Corporation of India, which has a 9.18 per cent stake, is not interested to raise its holding in it.
Earlier the company had offered to sell stake to public sector reinsurer GIC. The talks did not proceed as the chairman of State Bank of India, a member of the GIC board, is believed to have raised certain objections.
