IFCI Restricted (the consolidated entity) additionally proposed to stay as an NBFC (Non-Banking Monetary Firm).
In a regulatory submitting on Monday, the corporate knowledgeable that its board has beneficial to the Authorities of India for approval of the Group Consolidation in two phases.
Based mostly on the in-principle approval acquired from the Authorities of India to think about ‘Consolidation of IFCI Group’ dated November 22, 2024, which entailed merger/ amalgamation of IFCI and StockHolding Company of India and different group corporations of IFCI, the corporate had appointed a Transaction Advisor for finishing up the consolidation course of.
As per the analysis of the Transaction Advisor, the Board of IFCI Restricted at its assembly held on Monday has beneficial to the Authorities of India for approval of the Group Consolidation, IFCI stated.
Underneath the consolidation on the firm stage (Merger 1), the corporate has proposed the consolidation of StockHolding Company, IFCI Components, IFCI Infrastructure Growth and IIDL Realtors with IFCI Restricted, the listed entity. “IFCI Restricted (the consolidated entity) is proposed to stay as an NBFC and can proceed to discover alternatives in custodial providers, e-stamping, advisory, and so on., together with lending,” the submitting stated. The corporate has additionally sought approval for the consolidation of StockHolding Companies, IFCI Monetary Companies Restricted, IFIN Commodities Restricted, IFIN Credit score Restricted and IFIN Securities Finance Restricted right into a single entity, which will probably be a direct subsidiary of IFCI Restricted, i.e. the consolidated listed entity (Merger 2).
It has additionally proposed that different group entities might proceed as direct subsidiaries of the corporate.
“The Board additional beneficial divestment of IFCI’s shareholding in MPCON Restricted, a direct subsidiary of IFCI Restricted, to the Authorities of India for approval,” the submitting stated.
IFCI stated the consolidation and divestment are topic to the relevant regulatory/statutory approvals and relevant legal guidelines, guidelines, laws, pointers, framework and requirements.