Over 100 minority shareholders of ICICI Securities have filed a class action suit with the National Company Law Tribunal (NCLT) against the delisting plans of ICICI Securities.
Manu Rishi Gupta, the founder of MRG Capital, a Bengaluru-based investment fund, is representing minority shareholders.
The shareholders have expressed opposition to the share swap ratio proposed for delisting the brokerage. Under the proposed delisting plan, ICICI Securities shareholders will receive 67 shares of ICICI Bank for every 100 shares they currently hold.
ICICI Securities, on March 28, received shareholders’ nod to delist its stock, paving the way to merge with parent and majority shareholder ICICI Bank despite resistance from some retail shareholders. As per the results of the shareholder vote, 71.9% of the shareholder votes were cast in favour of the proposal to merge ICICI Securities with ICICI Bank after a delisting process.
On April 10, Quantum Mutual Fund, a minority shareholder, had objected to the scheme of merger of ICICI Securities with parent firm ICICI Bank, saying it is “flawed and bridled with irregularities” and will adversely affect minority shareholders of the broking firm.