NEW DELHI: Shares of Indiabulls Housing Finance (IHF) declined nearly 3 per cent in morning trade on Monday after the company announced changes in merger with Lakshmi Vilas Bank.An ET report suggested, IHF and its subsidiary Indiabulls Commercial Credit (ICC) will be merged into Lakshmi Vilas Bank (LVB) after a change in the merger agreement announced on the stock exchanges late on Friday.
The change will potentially make it easier for the entities to get regulatory approval as Indiabulls promoters may potentially not need to pass muster with the Reserve Bank of India (RBI).
In a notice to the stock exchange on Friday, IHF and ICC were described as transferor companies while LVB was described a transferee company, a change from April 5 when LVB was described as the transferor company.
The new deal envisages the merger of both Indiabulls companies into LVB on an ongoing basis without being wound up, the ET report added.
Around 10:05 am, shares of IHF traded 1.73 per cent down at Rs 693.75 on BSE.