GE Money India is learnt to have found no takers for its wholly owned personal loans and mortgages portfolios with the interested parties quoting nearly half of the company's expectation. The bidders say this could eventually lead to the proposed divestment plan being scrapped.
The bidders have recently informed Morgan Stanley, advisor to GE Money India that their valuations are in the range of $150-200 million. GE Money had pegged the base price of these two businesses at $400 million - the amount it had invested in them - and was looking for a premium over this.
Code-named 'Project Intrepid', GE has put GE Money Housing Finance (excluding home loans distributed through a JV with Wizard home loans) and the personal loans business known as GE Money Financial Services on the block four months ago.Nearly 40 companies showed initial interest but a few firms including Tata Capital, Future Group, Indiabulls, the Aditya Birla Group and Carlyle carried out the due diligence.
Read more in The Economic Times article.
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