Lenders look to sell Jaiprakash Power's convertible shares in open market

ICICI Bank is in talks with power companies to facilitate sale of bankrupt company's unit

ICICI Bank and other Indian lenders seek to offload their stakes in the power business of bankrupt Jaiprakash Associates by selling in the open market compulsory convertible preference shares (CCPS) that have a face value of Rs 3,800 crore. ICICI Bank is in talks with power companies to facilitate the sale, according to a banking source familiar with the matter.

 

Jaiprakash Associates Ltd (JAL), which is undergoing bankruptcy proceedings, owns 24 per cent in Jaiprakash Power Ventures. "Lenders are looking to sell the CCPS on behalf of all banks and this process has been underway for a while," said the