Lenders of Bhushan Power and Steel (BPSL) will huddle in the next 2-3 days to decide on the future course of action, including the option of seeking a review of the Supreme Court verdict last week to set aside the resolution plan of JSW Steel and order liquidation of the company.
“As of now, we are in touch with all the lenders in the CoC (committee of creditors) and in another 2-3 days, we are going to have a meeting and once that happens, then some course of action will be decided. Whatever is required will be done in this particular account as per the law of the land,” Punjab National Bank MD and CEO Ashok Chandra said on Wednesday at the post-earnings call of the bank.
JSW Steel had offered a resolution plan that provided for an upfront amount of ₹19,350 crore to the financial creditors against their total admitted claims of ₹47,157.99 crore. PNB has received around ₹3,000 crore, Chandra said.
A Supreme Court bench comprising Justices Bela M Trivedi and Satish Chandra Sharma, in its verdict, criticised the conduct of all key stakeholders in the resolution process for enabling what it termed a “flagrant violation” of the bankruptcy code.
PNB Net
Punjab National Bank on Wednesday reported a 52 per cent rise in net profit at ₹4,567 crore for Q4FY25. The lender had earned a net profit of ₹3,010 crore a year ago.
Chandra said the profit growth can be attributed to overall business growth, recovery in technically written-off accounts and treasury income, among others.
The board approved a proposal to raise up to ₹8,000 crore through the issuance of Basel III-compliant bonds to be raised in one or more tranches during FY26. Of this, the CEO said ₹4,000 crore will be mobilised via additional Tier-I Bonds and the remaining through Tier-II bonds.