 "nbfc, hfc, housing, loans, realty, construction, default, sales")
Saddled with risky real estate loans, non-banking financial companies (NBFCs) and housing finance companies (HFCs) are selling their portfolios to special situation funds.
The liquidity crunch faced by NBFCs since the IL&FS (Infrastructure Leasing & Financial Services) default in 2018 notwithstanding, the pandemic and subsequent lockdown have made developer loans riskier.
Though the moratorium on loan repayments has been extended to developers till August, experts believe they could struggle to repay lenders.
In the last couple of weeks, over Rs 6,000 crore of such loans have been sold or refinanced by the likes of ECL Finance — Edelweiss’ NBFC arm — and Indiabulls
