Yes Bank Limited (NSEI:YESBANK), which is in the process of selecting a partner for an asset reconstruction company (ARC) to warehouse a large portion of its bad loans, is seeking as much as INR 120,000 million from potential investors, two people directly aware of the ongoing negotiations said. The private sector lender, which plans to transfer non-performing assets (NPAs) of close to INR 540,000 million to the ARC by the end of the current fiscal, is seeking bids anywhere between INR 100,000 million and INR 120,000 million, the people said, requesting anonymity. The bank has sought binding bids by January 25, 2022 from private equity investors. The private sector lender also wants the right to appoint the Chairman and key managers across departments of the proposed ARC in which it will hold a 20% stake, they said. "According to initial estimates, at least a few dozen Yes Bank employees will move to the ARC. These are employees who have been managing the accounts for a long time. The bank feels that they will be needed to ensure continuity and recovery," one of the two people cited above said. On 18 October, Mint reported that US-based distressed assets investor Cerberus Capital Management, L.P. was among contenders to partner Yes Bank for the ARC, along with EMSO Asset Management Limited, which has a tie-up with Eight Capital Management LLC, and Oaktree Capital Management, L.P. "Global private equity fund J.C. Flowers & Co. LLC has also emerged as a serious contender," said the second person cited above. "Investors are studying the conditions, but the bank is hopeful of getting several binding bids by the end of the deadline," said the second person. Spokespeople for Cerberus Capital and Eight Capital declined to comment, while queries sent to JC Flowers and Yes Bank remained unanswered till press time.