SBI Capital Markets will stop providing debt syndication and debt resolution services, according to its parent State Bank of India. SBICAPS and its Project Advisory and Structured Finance (PASF) group are currently involved in project advisory, loan syndication, refinancing, debt resolutions, mergers and acquisitions and other investment banking services. The decision follows the RBI pointing out a conflict of interest between the bank and its investment banking arm with regards to the debt syndication and restructuring services. State Bank of India said in a statement in view of duplication of processes resulting in delays, as also certain regulatory concerns, it is decided that the activities like debt syndication (both greenfield and brownfield projects /refinancing for private sector customers) and Debt resolution mandates taken from private sector companies offered by PASF, SBICAPS, are discontinued. As in the past SBI, will continue to provide support and assistance to all its customers on an ongoing basis, the statement added. SBICAPS, however, will continue to provide other investment banking services.
