Global Statistics

All countries
227,334,700
Confirmed
Updated on 16/09/2021 9:42 am
All countries
202,308,439
Recovered
Updated on 16/09/2021 9:42 am
All countries
4,675,053
Deaths
Updated on 16/09/2021 9:42 am

Global Statistics

All countries
227,334,700
Confirmed
Updated on 16/09/2021 9:42 am
All countries
202,308,439
Recovered
Updated on 16/09/2021 9:42 am
All countries
4,675,053
Deaths
Updated on 16/09/2021 9:42 am

Equitas Holdings and Equitas SFB recover after approval of the merger plan

Shares of Equitas Holdings (Rs 135.70) and Equitas Small Finance Bank (Rs 68.70) were up 9 percent each on the BSE in intraday trading on Tuesday after their respective boards approved the merger scheme of the two companies. Equitas Holdings (Rs 138.40) and Equitas SFB (Rs 76.75) shares had reached their respective 52-week highs on July 12, 2021.

Under the scheme, Equitas SFB will issue 226 shares to the holding company’s shareholders for every 100 they own. The plan also involves the “dissolution without liquidation” of Equitas Holdings following its merger with Equitas SFB. The merger, effective November 1 if all approvals are received, is to comply with a directive from the Reserve Bank of India (RBI) for promoter Equitas Holdings to reduce its stake in the small financial bank to less than 40 percent. hundred.

Earlier this month, Equitas SFB had received the go-ahead from RBI to apply for the merger of the promoter itself. The intention of the merger is to comply with RBI regulations on small financial banks, which oblige the promoter to reduce the stake in the subsidiary to 40 percent within five years after the SFB starts operations. As of June 30, 2021, Equitas Holdings held an 81.75 percent interest in Equitas SFB.

Equitas Holdings is a systemically important core investment firm that does not accept deposits. The operations and activities of the company are limited to investing and granting loans to group companies.

Equitas SFB operates as a small financial bank dedicated to the retail banking business with a focus on microfinance, commercial vehicle financing, home financing, property loan financing, corporate financing and providing financing solutions for individuals and micro and small businesses ( MPEs) that are underserved by formal financing channels while providing a comprehensive banking and digital platform for all.

Dear reader,

Business Standard has always strived to provide up-to-date information and feedback on developments that are of interest to you and that have broader political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering has only strengthened our determination and commitment to these ideals. Even during these difficult times arising from Covid-19, we remain committed to keeping you informed and up-to-date with credible news, authoritative opinions, and incisive commentary on relevant current affairs.
However, we have a request.

As we fight the economic impact of the pandemic, we need your support even more so that we can continue to bring you more quality content. Our subscription model has received an encouraging response from many of you, who have subscribed to our content online. Increased subscription to our online content can only help us achieve our goals of bringing you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practice the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital editor

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Hot Topics

Related Articles