Shareholders of ICICI Securities lodge lawsuit with NCLT over delisting proposal: Report

In the erstwhile month, astir 72% of shareholders gave their support for the strategy of statement facilitating the merger of ICICI Securities with its genitor company, ICICI Bank.

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The voting connected the merger strategy occurred successful compliance with an NCLT directive to measure the support of the scheme.

Under the projected delisting plan, ICICI Securities shareholders are acceptable to person 67 shares of ICICI Bank for each 100 shares they presently hold.

ICICI Bank has faced disapproval for purportedly persuading number shareholders of ICICI Securities (I-Sec) to backmost the backstage lender's bid to delist the brokerage and concern banking division.

The enactment followed assertions made by definite ICICI Securities shareholders connected societal media, alleging nonstop interaction from the bank's executives urging them to ballot successful favour of the solution advocating for the delisting of the broking subsidiary.

According to reports, Quantum Mutual Fund, which has opposed to ICICI Bank's connection to delist ICICI Securities, is besides contemplating ineligible recourse against the bank. Additionally, the superior markets regulator, Sebi, has provided ICICI Bank with an exemption from the delisting regulation, which typically necessitates the listed holding institution and its listed subsidiary to run successful the aforesaid enactment of business.

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ICICI Bank defended its presumption by stating that autarkic valuers recommended the strategy of arrangement.

In the caller 4th quarter, ICICI Securities reported a nett net exceeding doubly its erstwhile figure, amounting to ₹536 crore, portion the consolidated gross from operations reached ₹1,543 crore.

During the January-March quarter, its debt-to-equity ratio accrued to 4.25 from 3.26 successful the corresponding 4th of FY2023. In contrast, the indebtedness work sum ratio decreased to 0.18% by March 31, 2024, compared to 0.21% successful the 4th ending March 31, 2023.

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Published: 28 Apr 2024, 11:42 AM IST