reliance capital: Promoter group reclassified as public: Reliance Cap

Debt-ridden Reliance Capital on Wednesday said the existing ‘Promoter/Persons belonging to Promoter Group’ has been reclassified as the ‘Public’ category. The company has made an application to BSE Ltd and National Stock Exchange of India Limited for reclassification of existing ‘Promoter/Persons belonging to Promoter Group’ to ‘Public’ in accordance with Regulation 31A of Sebi (Listing Obligations and Disclosure Requirements) Regulations, 2015, the company said in a regulatory filing.

The company is under a resolution process under the Insolvency and Bankruptcy Code.

The Reserve Bank of India (RBI) had on November 29, 2021, superseded the board of RCL in view of payment defaults and serious governance issues.

The RBI appointed Nageswara Rao Y as the administrator in relation to the Corporate Insolvency Resolution Process (CIRP) of the firm.

Reliance Capital is the third large non-banking financial company (NBFC) against which the central bank has initiated bankruptcy proceedings under the IBC.

The other two were Srei Group NBFC and Dewan Housing Finance Corporation (DHFL). The RBI subsequently filed an application for initiation of CIRP against the company at the Mumbai bench of the National Company Law Tribunal (NCLT).

In February 2022, the RBI-appointed administrator invited expressions of interest for the sale of Reliance Capital.