Lakshmi Vilas Financial institution (LVB) has acquired a non-binding supply from Clix Group, the personal sector lender stated on Thursday, weeks after the financial institution’s shareholders voted out seven administrators from its board.
The financial institution was first approached by lender Clix Capital, part of the Clix Group and majority owned by Mumbai-based personal fairness agency AION Capital Companions, with a letter of intent in June.
AION is a partnership between New York-based Apollo World Administration and ICICI Enterprise, a unit of India’s ICICI Financial institution.
The Chennai-based lender, which has been battling unhealthy loans and governance points, has been on the lookout for a purchaser since final 12 months. The central financial institution had in final October rejected a proposal for it to merge with shadow lender Indiabulls Housing Finance Ltd.
The Reserve Financial institution of India authorised a three-member committee of administrators to handle the financial institution’s operations final month after the shareholders ousted administrators, together with the chief government officer.
The financial institution didn’t give additional particulars on the supply from Clix Group on Thursday.