India Adds Distress to Distressed Debt Deals

India’s stressed asset deals are starting to look cosy. Local tycoon Gautam Adani’s roads-to-mining empire narrowly outbid U.S.-based Oaktree with a $4 billion bid for a collapsed housing lender, but it was submitted after a deadline passed and cheekily expanded on its original plan, Reuters reported. It’s the second time in just a few months that the industrialist has blindsided foreign buyers. The higher offer from Adani Enterprises might be welcomed by creditors led by State Bank of India. They stand to collect only about 40 cents on the dollar from Dewan Housing Finance Corp Ltd, or DHFL as it is known, and naturally want the best possible recovery. The company defaulted on some of its $12 billion in liabilities and was pushed into insolvency proceedings by the Reserve Bank of India about one year ago. Read more

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