For Quick Alerts
ALLOW NOTIFICATIONS  
For Daily Alerts

Future Retail's merger plan meets roadblocks from Sebi: Report

By Religare
|

Future Retail's merger plan meets roadblocks from Sebi: Repo
The market regulator Securities and Exchange Board of India (Sebi) has raised objections on the Kishore Biyani led Future Retail Ltd's proposed manner to merge its fully-owned subsidiary Future Value Retail (FVRL) with itself, according to a media report.

 

According to an Economic Times report, Sebi has said that the deal will benefit subsidiary's debenture holders at the cost of minority shareholders in the parent as it would lead to dilution of equity.

Future Retail had decided to merge with itself Future Value Retail with effect from July 1, 2012. Also Future Retail's books include Rs 685 crore in the form of compulsorily convertible debentures (CCDs), which is the biggest source of concern for Sebi as it feels that it would benefit the lenders of convertible debt while affecting the interests of minority shareholders of the parent listed entity.

Dion Global Solutions Ltd.

Company Search
Get Instant News Updates
Enable
x
Notification Settings X
Time Settings
Done
Clear Notification X
Do you want to clear all the notifications from your inbox?
Settings X
We use cookies to ensure that we give you the best experience on our website. This includes cookies from third party social media websites and ad networks. Such third party cookies may track your use on Goodreturns sites for better rendering. Our partners use cookies to ensure we show you advertising that is relevant to you. If you continue without changing your settings, we'll assume that you are happy to receive all cookies on Goodreturns website. However, you can change your cookie settings at any time. Learn more