State-owned financial institution IFCI Ltd has got board’s approval to partially divest its stake in Stock Holding Corporation of India Ltd (SHCIL), a provider of custodial, depository and online stock trading services.
Besides, the shareholders have approved disinvestment of entire stake of IFCI in Assets Care and Reconstruction Enterprise Ltd (ACRE), according to a stock market disclosure.
“At its meeting held on January 4, 2015, the board of directors of IFCI has approved partial disinvestment of equity shareholding of IFCI in SHCIL, and the disinvestment of entire stake of IFCI in ACRE,” IFCI said in a BSE filing.
IFCI currently holds about 53 per cent stake in SHCIL, which provides post trading and custodial services to institutional investors, mutual funds, banks, insurance companies, etc. The company has 196 offices across the country.
ACRE is promoted by IFCI, Punjab National Bank, Tourism Finance Corporation of India and Bank of Baroda. It is licensed by RBI under the SARFAESI Act with the objective of acquiring non-performing loans from financial institutions and banks in India. In 2014, the company had sold 49 per cent stake to Singapore-based SSG Capital Management Pte Ltd for an undisclosed amount.
IFCI, formerly known as The Industrial Finance Corporation of India, cater to the long-term finance needs of the industrial sector.