The Poonawalla Fincorp share price edged up in early trade on May 31 after the company received the RBI approval for diluting its stake in a subsidiary.
The Reserve Bank of India (RBI) has approved divestment in the company's material subsidiary Poonawalla Housing Finance to TPG Global LLC.
The company had announced divestment of all of the 249,821,117 equity shares held in Poonawalla Housing Finance (PHFL) in favour of Perseus SG Pte Ltd, an entity affiliated to TPG Global LLC, subject to obtaining approval of relevant regulatory authorities, and fulfillment of other customary conditions, as per the terms and conditions specified in the share purchase agreement of December 14, 2022.
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"The RBI approved the application made by the subsidiary for the proposed change in shareholding of PHFL subject to fulfilment of the conditions as mentioned in the said RBI Letter," company said in its press release.
Upon conclusion of the proposed transfer of equity shares, Perseus will acquire a controlling stake in PHFL.
At 09:21 hrs Poonawalla Fincorp was quoting at Rs 343.35, up Rs 3.65, or 1.07 percent on the BSE.
The share touched a 52-week high of Rs 354.75 and a 52-week low of Rs 209.15 on 24 May, 2023 and 20 June, 2022, respectively. It is trading 3.21 percent below its 52-week high and 64.16 percent above its 52-week low.
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