Reserve Bank of India (RBI) has eased the restrictions on onboarding new customers by HDFC Credila Financial Services, parent company Housing Development Finance Corporation informed the exchanges.
The relaxation is subject to the application for change in shareholding of HDFC Credila as an NBFC, being put forth by the central bank before July 31, with the assurance that the shareholding of HDFC Bank in HDFC Credila will be brought down to 10 per cent by March 31, 2024.
In April, RBI allowed HDFC Bank to continue holding HDFC’s stake in HDFC Credila, subject to the shareholding being brought down to 10 per cent within two years from the effective date of the merger of HDFC with HDFC Bank. However, it had barred the company from onboarding new customers.
Last week, HDFC announced the sale of a 90 per cent stake in wholly-owned subsidiary HDFC Credila to Baring PE and ChrysCapital for ₹9,060 crore, which will include a capital infusion of ₹2,000 crore by the PE firms.
Following the proposed transaction, HDFC Credila will cease to be a subsidiary of HDFC, and the latter’s shareholding will fall to below 10 per cent of HDFC Credila’s total issued and paid-up share capital. HDFC will continue to hold one seat on the board of Credila.
HDFC has said it expects to get regulatory approvals for the deal within 15-30 days.