The demerger of IIFL Group in three entities — IIFL Finance, IIFL Wealth and IIFL Securities on the bourses within 60 days. This proposed demerger is backed by Fairfax and has got the approval of the National Company Law Tribunal (NCLT)
As per the arrangement, for every seven shares of IIFL Holdings — the listed company — a shareholder will get seven shares each of IIFL Finance and IIFL Securities, and one share of IIFL Wealth.
Currently, IIFL Holdings’ loans and mortgages business has an asset under management in excess of Rs 36,000 crore. The growth of the company is aimed to achieve 20-25% in FY19. Simultaneously, the shares of IIFL have moved 10% up in the past month thus indicating potential in near future.
Earlier in an interview with hindubusinessline, IIFL Chairman Nirmal Jain said that the demerger is aimed at independent growth of arms.