UCO Bank has entered into an agreement to acquire 3 per cent stake in India Debt Resolution Company (IDRCL). The acquisition will be for a cash consideration of Rs 1.50 crore. The bank's holding in the company will be 3 per cent, therefore no approval is required. The acquisition will be completed within 10 working days from the date of agreement that is March 09, 2022.
IDRCL is a public sector asset rehabilitation agency where the stressed assets of the public sector undertaking can be transferred. PSUs can transfer the stressed assets to the agency, hence cleaning up their books. The intent of setting up of such an agency is to speed up the resolution process and maximising recoveries.
UCO Bank is a commercial bank and a Government of India Undertaking. The Bank offers wide range of services includes Personal Banking, Corporate Banking, International Banking, Rural Banking and other services.
