ICICI Securities, a company of ICICI Group, one of the country’s largest business groups, has received permission from shareholders to delist the stock from the exchanges. About 72 percent shareholders of the company have supported the delisting of ICICI Securities from the stock market. However, those opposing the proposal were mostly retail investors.
Institutional investors supported
In the information given by ICICI Securities to the exchanges regarding delisting of the shares, it was said that 83.8 percent of the institutional investors have supported the proposal to remove the company from the stock market. At the same time, 67.8 percent non-institutional investors voted against this proposal.
Will be merged with ICICI Bank
ICICI Securities will be delisted and merged into the group’s parent company ICICI Bank. As a result of the merger with ICICI Bank, for every 100 shares of ICICI Securities, 67 shares of ICICI Bank will be issued to the shareholders. As of December 2023, domestic and foreign institutional investors hold 16.68 percent stake in the company. The remaining 8.55 percent stake is held by non-institutional investors.
Regarding the merger, ICICI Securities says that in the present time there is increasing market competition and changing regulatory environment. If the company remains listed separately, it may have a negative impact on its business.
ICICI Securities Share
After this announcement, ICICI Securities shares fell 4.2 percent to Rs 710. Later, recovering some of the losses, it closed at Rs 729, down 1.63 from the previous closing price. However, ICICI Bank shares gained momentum and closed at Rs 1,096, up 1.13 per cent. It touched a high of 1,105 and a low of 1,085 during the day’s trading.
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