IFCI Ltd’s shares gain after company recommends consolidation process of IFCI Group

A Government of India backed NBFC, IFCI Ltd has announced that on the basis of approval received from Government of India to consider 'Consolidation of IFCI Group' dated November 22, 2024, which entailed merger / amalgamation of TFCI Limited and StockHolding Corporation of India Limited and other group companies of IFCI, the company had appointed a Transaction Advisor for carrying out consolidation process.

As per evaluation of the Transaction Advisor, the Board of IFCI Limited at its meeting held on July 14, 2025 has recommended to the Government of India for approval of the Group Consolidation:

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In terms of consolidation of company’s level (Merger-1)

It has been recommended for the Consolidation of StockHolding Corporation of Company Level India Limited, IFCI Factors Limited, IFCI Infrastructure Development Limited and IIDL Realtors Private Limited with TFCT Limited, the Listed Entity.

IFCI Limited (the consolidated entity) is proposed to remain as an NBFC and will continue to explore opportunities in custodial services, e-stamping, advisory etc. along with lending.

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Merger 2:

A recommendation for the Consolidation of StockHolding Services Limited, IFIN Commodities Limited, IFIN Credit Limited and IFIN Securities Finance Limited into a single entity, which will be a direct subsidiary of IFCI Limited i.e. the consolidated listed entity as mentioned above.

StockHolding Document Management Services Limited, StockHolding Securities IFSC Limited, IFCI Venture Capital Funds Limited and MPCON Limited shall be direct subsidiaries of  IFCI Limited.

The Board further recommended divestment of IFCI's shareholding in MPCON Limited, a direct subsidiary of IFCI Limited to the Government of India for approval.

Further, it has been mentioned that above consolidation and divestment are subject to the applicable regulatory/ statutory approvals and applicable Laws, Rules, Regulations, Guidelines, framework and standards, etc.

IFCI Ltd, formerly known as Industrial Finance Corporation of India, is a non-banking financial company (NBFC) in the public sector and is a listed company on the BSE and NSE and has several subsidiaries and associate companies. 

Shares of IFCI Ltd are surged over by 3.56% at Rs 62.75 at BSE.

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