Industrial Credit & Investment Corporation of India(ICICI) is in plans to change its name to ICICI Ltd. The financial institution will seek shareholder approval for the proposed change at its annual general meeting on July 24 in Mumbai.
However, even if the change of name is approved, the existing certificates of shares/securities will continue to be accepted for all purposes as indicative of entitlement and will not be called in for exchange into certificates bearing the new name.
ICICI was incorporated with the registrar of companies on January 5, 1955, with an objective of providing credit and to invest in industrial companies in the country. Its name reflected the objective.
However, the institution has diversified its activities over the years and now offers a wide range of financial products and services either by itself or through subsidiary/associate companies that incorporate `ICICI' as part of their name.
In this context, the association of the company's name with industrial credit and investment alone is seen to be somewhat restrictive in nature and does not adequately convey the company's participation in the financial sector as a whole.
Further, the full name of the company is considered fairly long and it is widely referred to by the public at large by the abbreviation `ICICI'.
It is in this context that the company's board has recommended formalisation of its name as ICICI Ltd instead of the expanded form.
The registrar of companies, Maharashtra, has confirmed that the new name is available for registration under Section 20 of the Companies Act, 1956. An application will be made to the union government for the change in name under Section 21 of the Act.
Another item of special business at the AGM's agenda seeks approval for the appointment of Ramjilal Choudhary, a shareholder, as a director on the company's board.
Choudhary, through his letter dated April 6, 1998, had given notice to the company under Section 257 of the Companies Act, proposing himself as a candidate for the office of director of the company. The board had earlier extended support to the appointment.
