State Bank of India to down-sell 50% of ₹11,000 Crore loan to Adani's Ganga Expressway project

31 Jan 2024 , 11:03 AM

SBI is offloading roughly half of its ₹11,000 Crore loan exposure to Adani Group’s Ganga Motorway project, which is India’s longest-tolled road project, after more than a year of disbursement.

The lender is in negotiations with financial institutions, including the National Bank for Financing Infrastructure and Development (NaBFID), Punjab National Bank (PNB), and other power financing businesses, about selling half of its exposure.

‘SBI is in the final stages of down selling Ganga Motorway loans to banks and financial institutions,’ according to a source. ‘SBI underwrote the full amount with the intention of down selling a portion of it. It is up to the bank’s risk management staff to choose how much to maintain and how much to down-sell.’

According to another banking source, at least four lenders have expressed interest in purchasing SBI’s debt: National Bank for Financing Infrastructure and Development (NaBFID), REC, PFC, and Union Bank of India.

NaBFID, an infrastructure-focused funder, plans to approve up to ₹1 lakh Crore in the long-term loan by March 2024, aligning with their portfolio. According to another source, loans of ₹21,000 Crore have been given so far.

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