Mumbai, Dec. 30 -- In an exchange filing, the bank said it had earlier informed shareholders on 12 December 2025 that its board had approved the sale of the specified loan portfolio, with a pool size of up to Rs 1,700 crore, including the technical write-off pool. The bank carries an overall provision of 94% on this portfolio. The Board of Directors authorized the Asset Sale Committee of Executives to negotiate and finalize the valuation under the Swiss Challenge Method.

Following the conclusion of the Swiss Challenge Method, the bank transferred the outstanding portfolio of Rs 1,693.65 crore as of 30 September 2025 to ARCs on 29 December 2025 for an aggregate consideration of Rs 183.18 crore.

Kerala-based ESAF Small Finance Bank commen...