Norges Bank of Norway supports ICICI Securities delisting

Amid Quantum Mutual Fund voting against the proposed delisting of ICICI Securities, the largest public shareholder Norges Fund Investment Bank has voted in favour of the proposal of the stock broking arm of ICICI Bank. The foreign fund, which holds nearly 3.25 per cent stake in ICICI Securities, voted in favour on Thursday, the first day of e-voting, as per the information posted on the website of Norges Fund Investment Bank.

The e-voting will remain open till March 26. The move of the Norway-based Norges Bank provided a shot in the arm of ICICI Securities’ plan to delist itself as it needs two-thirds of the public shareholders’ support to pass the resolution. However, Quantum Mutual Fund, which holds a 0.09 per cent stake in ICICI Securities, voted against the resolution on Thursday.

Quantum Mutual Fund opposed the delisting as it did not find the swap share ratio lucrative to the shareholders of ICICI Securities. As per the scheme of arrangement, shareholders of ICICI Securities will get 67 shares of ICICI Bank for every 100 shares they hold. Public shareholders collectively hold nearly 25 per cent stake in the company. Public shareholders collectively hold nearly 25 per cent stake in the company.

Now, the fate of the resolution hinges on how the remaining public shareholders vote. Life Insurance Corporation is the second biggest public shareholder, with a 2.5 per cent stake in ICICI Securities. Indian insurance companies, including LIC, hold a 3.5 per cent stake, while mutual funds hold a 2 per cent stake.