PNB picks up 12% stake in NARCL, to cut holding by December

PNB's equity stake of 12.06 per cent will be reduced to 9 per cent by December 2021

State-owned Punjab National Bank (PNB) has picked up 12.06 per cent stake in National Asset Reconstruction Company (NARCL), that intends to resolve Rs 2 trillion soured loans. 

“Punjab National Bank has subscribed to 1,80,00,000 shares of NARCL (pending execution of Investment Agreement),” the lender said in an exchange filing. 

The lender’s equity stake of 12.06 per cent will be reduced to 9 per cent by December 2021. 

The public sector lender has purchased 18 million shares of NARCL at face value of Rs 10/share. The approval from the Reserve Bank of India would be required for the acquisition of shares,