Merger of NBFC & Bank, indiabulls housing finance shares, debt, exchange ratio, NPA, cost of borrow.



RBI says LVB-Indiabulls Housing Fin merger proposal to be examined according to norms; no approval as yet.

A day after the board of Lakshmi Vilas Bank (LVB) approved the merger of the private sector lender with Indiabulls Housing Finance (IBH) through a share swap deal, the Reserve Bank of India clarified that the presence of its two nominee directors on the bank’s board does not imply approval of the proposal.

The central bank, in a late evening statement on Saturday, said: “It is clarified that the merger announcement does not have any approval of RBI at this stage. It is also clarified that presence of additional directors nominated by the RBI on the board of LVB does not imply any approval of the RBI of the merger proposal.”

Moreover, the additional directors have clearly mentioned at the meeting that they have no view on the proposal, it added. The proposals, as and when received from these entities, will be examined in RBI as per extant regulatory guidelines/ directions.

The share swap ratio of 0.14:1, or 14 shares of IBH for every 100 shares of LVB, has been agreed upon by the respective boards of directors, LVB said in a regulatory filing, adding that the deal is subject to regulatory approvals, including that from the RBI.

The two are hopeful of obtaining approvals, going by precedents — the merger of GRUH Finance with Bandhan Bank, Capital First with IDFC Bank and Bharat Financial Inclusion with IndusInd Bank.

The amalgamation comes at a time when housing finance companies are facing liquidity issues and a slowdown in loan disbursements after the IL&FS debacle.

The merged entity will have a net worth Rs 19,472 crore and a loan book Rs l,23,393 crore for the nine months of FY19. Its employee strength will stand at over 14,300.

The shareholders of IBH will own 90.5 per cent of the amalgamated entity, while those of LVB will hold the balance 9.5 per cent. Indiabulls founder and Chairman, Sameer Gehlaut’s stake will come down from 21.5 per cent to 19.5 per cent. He will further bring his holding down to below 15 per cent before the merger is effective.

As a first step towards the proposed merger, IBH’s board has constituted a reorganisation committee headed by independent director and former RBI Deputy Governor S.S. Mundra.

Indiabulls housing finance latest share news.
Indiabulls housing finance latest share news today.
Indiabulls housing finance stock.
Indiabulls housing finance share.
Indiabulls housing finance share news.
Indiabulls housing finance stock news.
Indiabulls housing finance stock news today.
Indiabulls housing finance share news today.
Indiabulls housing finance stock review.
Indiabulls housing finance share review.
Indiabulls housing finance share price.
Indiabulls housing finance stock price.
Indiabulls housing finance stock analysis
Indiabulls housing finance latest news.
Indiabulls housing finance latest news today.
Indiabulls housing finance latest.
Indiabulls housing finance latest stock news.
Indiabulls housing finance latest news in hindi.
Indiabulls housing finance latest update.
Indiabulls housing finance latest video.
Indiabulls housing finance news latest.
Indiabulls housing finance news in hindi today.
Indiabulls housing finance news today.
Indiabulls housing finance trading.
Indiabulls housing finance brokerage report.
Indiabulls housing finance brokerage view.
Indiabulls housing finance brokers view.
Indiabulls housing finance brokers call.

Lakshmi vilas bank latest share news.
Lakshmi vilas bank latest share news today.
Lakshmi vilas bank stock.
Lakshmi vilas bank share.
Lakshmi vilas bank share news.
Lakshmi vilas bank stock news.
Lakshmi vilas bank stock news today.
Lakshmi vilas bank share news today.
Lakshmi vilas bank stock review.
Lakshmi vilas bank share review.
Lakshmi vilas bank share price.
Lakshmi vilas bank stock price.
Lakshmi vilas bank stock analysis
Lakshmi vilas bank latest news.
Lakshmi vilas bank latest news today.
Lakshmi vilas bank latest.
Lakshmi vilas bank latest stock news.
Lakshmi vilas bank latest news in hindi.
Lakshmi vilas bank latest update.
Lakshmi vilas bank latest video.
Lakshmi vilas bank news latest.
Lakshmi vilas bank news in hindi today.
Lakshmi vilas bank news today.
Lakshmi vilas bank trading.
Lakshmi vilas bank brokerage report.
Lakshmi vilas bank brokerage view.
Lakshmi vilas bank brokers view.
Lakshmi vilas bank brokers call.

#StockMarket #IndiabullsHousingFinance #LakshmiVilasBank

source

Leave a Reply