SREI Infra to transfer lending, interest earning and lease businesses to SREI Equipment

SREI Infrastructure Finance (SREI Infra) and its wholly-owned subsidiary SREI Equipment Finance (SREI Equipment) had approved a Composite Scheme of Arrangement and Amalgamation at a meeting of the Board of Directors on 21 January 2019.

Subsequently, with the developing market conditions in the NBFC sector, the management and the Board of Directors have had several discussions and deliberations with market experts, consultants and others and the Board considered that the aforesaid Scheme should not be followed through.

Following these discussions, the Board of Directors of both Srei Infra and Srei Equipment at a meeting held on 04 July 2019 have decided for the purposes of consolidation of lending business to transfer the Lending Business, Interest Earning Business & Lease Business of SREI Infra together with associated employees, assets and liabilities (including liabilities towards issued and outstanding non-convertible debentures issued by SREI Infra), as a going concern by way of slump exchange to SREI Equipment, for such lump sum consideration as mutually agreed and which shall be discharged/ paid by SREI Equipment by issue and allotment of fully paid up equity shares of SREI Equipment.

 

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