CURRENT AFFAIRS

Detailed explanation-1: -The transaction is for a total cash consideration of up to ₹ 1,37.5 crore in tranches. Private sector lender ICICI Bank will acquire five per cent stake in National Asset Reconstruction Company Limited.

Detailed explanation-2: -Canara Bank, the sponsor of NARCL, is the largest shareholder with 12% stake. Other largest public sectors namely State Bank of India (SBI), Union Bank of India (UBI), Bank of Baroda (BoB) and Indian Bank have 9.90% shareholding.

Detailed explanation-3: -NARCL a government entity, has been incorporated on 7th July 2021 with majority stake held by Public Sector Banks and balance by Private Banks with Canara Bank being the Sponsor Bank.

Detailed explanation-4: -On March 21, the Bank of India (BoI) announced a Rs 109 crore investment in National Asset Reconstruction Company Ltd. (NARCL).

Detailed explanation-5: -Detailed Solution. The correct answer is Canara Bank. Canara Bank will be the lead sponsor of National Asset Reconstruction Company Limited (NARCL) or a bad bank with a 12 percent stake in the entity. A bad bank refers to a financial institution that takes over the bad assets of lenders and undertakes resolution.