The Housing Development Finance Corporation (HDFC) has been receiving a lot of interest for a stake in the wholly owned HDFC subsidiary Credila Financial Services and the company is likely to receive a call in June about any stake sales. said CEO Keki Mistry.
“We’re willing to reduce our stake in the company from 100 percent to 10 percent and a variety of people are calling and making offers, so we’re still collecting all of that,” Mistry said on an HDFC fourth-quarter investor call. . and fiscal year 23 results.
The strong interest shown by the company should ensure that any stake sale can take place in the coming months, he added.
“Hopefully, by the end of June, we should come to a conclusion on how to close this, assuming there is no RBI extension in terms of bringing in new customers,” he said, adding that HDFC will engage with RBI to resolve the issue. the incorporation of new clients.
Prior to the merger with HDFC Bank, the Reserve Bank of India requested HDFC to reduce its stake in HDFC Credila to 10 per cent within two years without adding any new customers.
Seeking the go-ahead from the regulator
HDFC has reportedly written to the regulator requesting permission for a new addition until a buyer is found. The guilty plea is based on the fact that while HDFC has been trying to sell its stake for more than a year and had received interest from private equity and sovereign wealth funds, discussions were put on hold while the lender awaited regulatory clarity on the merger.
Jefferies Financial Group has been appointed to manage the sale of HDFC Credila, which is expected to be valued at around $1 billion, according to reports.