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Business News/ Companies / News/  DHFL to soon complete full stake sale in 2 subsidiaries
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DHFL to soon complete full stake sale in 2 subsidiaries

Sebi grants DHFL approval for proposed change in controlling interest of DPAMPL
  • Divestment of DHFL’s entire shareholding in DPAMPL and DPTPL to Prudential is expected to be completed shortly
  • DHFL’s shares closed 5.77% up at ₹79.75 apiece on the BSE.Premium
    DHFL’s shares closed 5.77% up at 79.75 apiece on the BSE.

    NEW DELHI : Dewan Housing Finance Corporation Ltd (DHFL) Wednesday said it will shortly divest its full stakes in subsidiary firms DHFL Pramerica Asset Managers and DHFL Pramerica Trustees.

    The non-banking finance company has been facing liquidity crisis and has recently defaulted on its repayment obligations.

    The company has resorted to various modes of fund mop-up including selling stake in subsidiary firms to meet its debt obligations.

    The Securities and Exchange Board of India (Sebi) vide its letters on June 25, 2019 addressed to DHFL Pramerica Asset Managers Pvt Ltd (DPAMPL) has granted its prior approval for proposed change in controlling interest of DPAMPL and for amendment in trust deed, subject to certain conditions, DHFL said in a regulatory filing.

    DHFL has already entered into binding term sheet with PGLH of Delaware Inc (Prudential) for divestment of its stake entire shareholding of 50% in DPAMPL (17.12% being held directly and 32.88% being held by its wholly-owned subsidiary, DHFL Advisory & Investments Pvt Ltd).

    The term sheet agreement also applies for selling DHFL's entire shareholding of 50% in DHFL Pramerica Trustees Pvt Ltd (DPTPL).

    Further, the share purchase agreements for the said transactions has also been executed by the company.

    "The divestment of the company's entire shareholding in DPAMPL and DPTPL to Prudential is expected to be completed shortly," it said in the filing.

    In a latest, the company Tuesday defaulted on 60% of principal repayment on its commercial papers worth 375 crore.

    The company had said that it defaulted on principal repayment on Commercial Papers (CPs) worth 225 crore, while the payment on rest of 150 crore (40%) was done.

    DHFL also said the balance of 225 crore will be paid once the surplus cash flow position improves over the next couple of days.

    Its shares closed 5.77% up at 79.75 apiece on the BSE.


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    Published: 26 Jun 2019, 07:10 PM IST
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