IDFC links banking arm listing to effective date of demerger

Don't want to miss the best from Business Standard?

Infra lender IDFC today said the listing of shares of its soon-to-be-started bank will be decided only after an effective date of demerger for the businesses.
"Steps for listing and trading of shares of transferee company (IDFC Bank) will be taken only after effective date of demerger," IDFC said in an exchange filing today.
It added that IDFC Bank cannot allot equity shares to shareholders of IDFC before the effective date of demerger, which will be effective only after complying with conditions of a particular clause in the demerger scheme announced on July 13.
According to the scheme, the conditions include assent of creditors, the bank getting the final licence from RBI to commence operations, Sebi consent in relation to capitalisation of the bank and the Madras HC order on the demerger being filed with the Registrar of Companies.

It's not immediately clear which of the conditions are yet to be complied with.
IDFC has been selected along with microlender Bandhan to start full-fledged banking services, for which it received the final RBI nod last week. The new bank is scheduled for launch in October with 25 branches.