27.9 C
New Delhi
Saturday, April 20, 2024

Reasons Why ICICI Bank Staff Are Contacting ICICI Securities Stakeholders

More from Author

In Short:

ICICI Bank employees have been calling and visiting shareholders to persuade them to vote in favor of delisting ICICI Securities shares. Proxy advisory firms support the delisting, but retail investors are unhappy with the swap ratio. Some shareholders have been nudged and followed up with to vote. There are concerns about data privacy and solicitation of votes from shareholders by ICICI Bank employees.

ICICI Bank Persuading Shareholders for Delisting Vote

Five shareholders have reported that ICICI Bank branch employees have been reaching out to them through calls and even home visits to persuade them to vote in favor of the delisting proposal. The callers have gone as far as asking for screenshots of confirmation messages after e-voting, the investors revealed.

Delisting Approval Process

In June, the boards of both ICICI Bank and its broking arm, ICICI Securities, approved the delisting of ICICI Securities’ equity shares. Investors are set to receive 67 shares of ICICI Bank for every 100 shares of ICICI Securities they own. JM Financial Ltd and BofA Securities India Ltd were appointed by the respective entities to provide a fairness opinion on the ratio.

Shareholders’ Responses

While leading proxy advisory firms have given the green light to the resolution, retail investors like Sreenivas K and Apurba Das have expressed their unhappiness with the swap ratio and the pressure they are facing to vote in favor of the delisting.

Sreenivas K shared his surprise when an ICICI Bank representative urged him to support the resolution even though he had already voted against it. Similarly, Apurba Das mentioned his relationship manager persistently nudging him towards voting in favor of the delisting.

Moreover, Tarun Balotia, a software engineer, recounted a visit from ICICI Bank employees at his registered address, seeking proof of his e-voting. Instances like these have raised concerns among shareholders.

Concerns Raised

Experts pointed out the potential breach of data privacy and solicitation of votes as key issues arising from this situation. The involvement of bank employees in soliciting votes has raised questions about data privacy and corporate governance.

ICICI Securities Background

Founded in 1995, ICICI Securities offers a range of broking services and financial products. The company’s initiation of the delisting process has stirred controversy among shareholders, with some feeling pressured to vote in favor of the resolution.

- Advertisement -spot_img

More articles


Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.

- Advertisement -spot_img

Latest article