Shriram Group’s non-banking financial entities are most likely to get amalgamated by the third quarter of this financial year, according to a top company official.
Chennai-based Shriram Group had announced the merger of two non-banking finance companies (NBFCs) in December 2021, which will create the largest retail NBFC in the country with a combined asset under management (AUM) of over Rs 1.5 lakh crore and a distribution network of over 3,500 branches.
Shriram City Union Finance Ltd (SCUF) has received shareholders’ approval for the merger and it is expected to get the nod from the Insurance Regulatory and Development Authority of India (Irdai) and Competition Commission of India (CCI) soon, company’s managing director and CEO Y.S. Chakravarti said.
“The next step is, we need two more approvals. One from CCI and another from Irdai, which we should see happen soon. For the National Company Law Tribunal (NCLT) to pronounce a final order, we expect eight to ten weeks of time. So, 8-10 weeks is when we will be able to get the order (from NCLT). And once we get the order, we can consider it legal (combined entity), Chakravarti said.
