ICICI Securities' Delisting Proposal Got Approval After 67% Votes Against.

As per the terms of the arrangement, investors of ICICI Securities will receive 67 shares of ICICI Bank for every 100 shares held. 

The delisting proposal of ICICI Securities got approval from the Securities and Exchange Board of India SEBI. However, getting majority on this proposal was not that easy, ICICI Bank limited had to face a lot of embarrassment due to the complaints of Retail

Shareholders.

As per the terms of the arrangement, investors of ICICI Securities will receive 67 shares of ICICI Bank for every 100 shares held. 

Voting in Majority, Results in Approval 

Voting was conducted to find out the true conclusion of this proposal in which Public Shareholders voted 71.89% in favor of the proposal, and Retail Investors voted 67% against the proposal. On the night of March 27, ICICI Bank Stated in its Regulatory filing that, Public Institutional Shareholders cast 83.8% votes in favor and Public Non-Institutional Shareholders cast 32% votes in favor.

According to Stock Exchange as of December 2023, the share of Foreign and Domestic Institutional Investors in Broking Firm is 16.68% or the share of Non-Institutional Shareholders is 8.55%.

Finally got Approval 

Keeping in view the overwhelming vote of Public Institutional Shareholders in favor of the proposal, the proposal of delisting of ICICI Bank and subsequent merger of ICICI securities into ICICI Bank Limited has been approved. After this ICICI Securities will become a wholly owned subsidiary Company of ICICI Bank Limited.

Guidelines of SEBI Regarding Delisting 

According to the guidelines of Securities Exchange and Board of India, if any company proposes to delist or merge the company, then the vote of the shareholders of the delisting firm should be at least twice as many as the vote against the proposal. Only then the proposal gets easily approved.

Complain of Retail Shareholders Against ICICI Bank

Although the proposal was approved, Retail Shareholders have accused ICICI Bank of continuously receiving calls from ICICI Bank asking them to vote in favor of the Proposal, Many retail shareholders of the company told this in platform X, and due the this the Company have to face Challenge regarding approval of the proposal.

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