Srei Infrastructure Finance will remain the holding company for Srei Equipment Finance.ET Bureau|Jul 04, 2019, 11.54 PM ISTBCCL”The process of transfer will be completed in the next 3 to 4 months,” Srei chairman Hemant Kanoria said.KOLKATA: Srei Infrastructure Finance Limited on Thursday said it has decided to consolidate all its lending business into its wholly owned subsidiary Srei Equipment.
According to a statement by Srei, the proposed step, apart from cost efficiency, will create room for the lending entity, Srei Equipment, to attract strategic investors and also prepare the company for conversion into a bank, as and when the Reserve Bank of India (RBI) permits.
Srei Infrastructure Finance will remain the holding company for Srei Equipment Finance.
“The process of transfer will be completed in the next 3 to 4 months,” Srei chairman Hemant Kanoria said.
The consolidation will also enhance customer experience, bring in economies of scale, allow the companies to offer their services at competitive rates and provide greater flexibility in accessing capital, the company release stated.
Elaborating, Kanoria said: “The proposed move will also enable Srei to mitigate the risks in the present environment of slowdown in the NBFC and infrastructure sectors.”
Also ReadDutch bank FMO provides refinancing line to Srei Equipment FinanceSrei Equipment Finance to co-lend with Syndicate BankSrei Equipment Finance in talks to raise Rs 1,000 crore in pre-IPO dealSREI Equipment Fin IPO will be in FY19: Hemant Kanoria, SREI InfraSrei Equipment Finance files IPO papers with SebiCommenting feature is disabled in your country/region.Copyright © 2019 Bennett, Coleman & Co. Ltd. All rights reserved. For reprint rights: Times Syndication Service
Source