Equitas Holdings and Equitas Small Finance Bank can now be Merged - RBI

Equitas Holdings and Equitas Small Finance Bank today received a ‘no objection’ from RBI for their voluntary amalgamation


May 06, 2022 07:00 pm

Equitas Small Finance Bank said in an exchange filing about the go ahead from RBI for their voluntary amalgamation with Equitas Holdings Limited


Equitas Small Finance Bank is bigger than Equitas Holding in terms of total assets, turnover, and net worth, according to stock exchange filings by both the companies on March 21. The market capitalisation of Equitas Small Finance Bank was Rs 6,404 crore on March 31, compared with Rs 3,643.48 crore for Equitas Holdings.


As per the conditions set by the Reserve Bank, EHL would have to divest its shareholding in its subsidiary, Equitas Technologies P Limited prior to the scheme taking effect.


ESFBL would have to seek RBI’s approval for bringing Equitas Development Initiatives Trust (EDIT) and Equitas Healthcare Foundation (EHF) under its ambit prior to the scheme taking effect.