“We sold stake in some of the subsidiaries and we are exploring opportunities to divest stake in some other non-core subsidiaries depending on right valuation,” BoI Executive Director N Damodaran told PTI.
He said, however, that it would be difficult to give a timeline and share numbers.
“We are focusing on certain non-core subsidiaries to divest with an aim to unlock capital…It will also help the bank get into the black this financial year (FY),” he said.
The bank’s gross non-performing assets (NPAs) or bad loans were restricted to 13.22 per cent of the gross advances at the end of March 2017, marginally higher than 13.07 per cent a year ago.
Net NPAs, however, declined to 6.90 per cent of the net advances at the end of the last FY, as against 7.79 per cent a year earlier.
In FY17, the bank reported a net loss of Rs 1,558 crore as against a net loss of Rs 6,089 crore in FY16. It also narrowed its fourth quarter losses to Rs 1,046 crore from Rs 3,587 crore in the year-ago period.
Last year, the Mumbai-based lender sold 18 per cent stake in Star Union Dai-ichi Life Insurance Company to its Japanese partner for Rs 540 crore, valuing the company at Rs 3,000 crore.
Following the transaction, Japan-based Dai-ichi Life Insurance Company’s share went up to (Read More)