Mumbai (Maharashtra) [India], June 26 (ANI): Dewan Housing Finance Corporation Limited (DHFL) said on Wednesday that divestment of the company's entire shareholding in DHFL Pramerica Asset Managers Pvt Ltd (DPAMPL) and DHFL Pramerica Trustees Pvt Ltd (DPTPL) to Prudential is expected to be completed shortly.
"This is further to the company's letters on December 18, 2018 and February 21, 2019 whereby the company intimated the stock exchanges that the company had entered into a binding term sheet with PGLH of Delaware Inc (Prudential) for divestment of the company's entire shareholding of 50 per cent in DPAMPL (that is 17.12 per cent being held directly and 32.88 per cent being held by its wholly-owned subsidiary DHFL Advisory and Investments Pvt Ltd) and the company's entire shareholding of 50 per cent in DPTPL and had further executed a share purchase agreement with the parties for the said transaction," it said in regulatory filings.
The company informed that Securities and Exchange Board of India (SEBI) on June 25 addressed to DPAMPL has granted its prior approval for proposed change in controlling interest of DPAMP Land for amendment in trust deed under the applicable provisions of SEBI (Mutual Funds) Regulations 1996.
"Accordingly, the divestment of the company's entire shareholding in DPAMPL and DPTPL as stated above to Prudential is expected to be completed shortly," the company stated.
Cash-strapped DHFL has faced a series of downgrades from rating agencies as the company failed to pay interest on bonds.