The union cabinet Monday approved infusion of Rs.60 crore in Industrial Finance Corporation of India (IFCI) Ltd. to make it a government company by way of acquisition of preference shares from existing share holders, an official statement said.
"The union cabinet chaired by Prime Minister Narendra Modi today approved the infusion of RS. 60 crore in Industrial Finance Corporation of India (IFCI) Ltd. to make it a government company by way of acquisition of preference shares from existing share holder(s)," it said.
The current shareholding of the union government in IFCI after inclusion of the preference share capital is 47.93 percent.
"Therefore, IFCI is not a government company under section 2(45) of the Companies Act, 2013. A contribution of Rs.60 crore to the capital of the company would raise the shareholding of the government to 51 percent," the statement added.