On Monday, the state-owned IFCI announced that it has received a capital infusion of Rs 500 crore by issuing equity shares to the government on a preferential basis.
In a regulatory filing, IFCI disclosed that it allotted 12,39,77,188 shares to the Government of India on April 18, 2024, through a preferential allotment.
Following this capital infusion, the government’s ownership in IFCI, the oldest financial institution, has risen from 70.32 percent to 71.72 percent.
Previously, in 2022, the government injected Rs 100 crore into IFCI, a long-term infrastructure financier.
Established on July 1, 1948, by the government, the Industrial Finance Corporation of India was the country’s inaugural Development Financial Institution.
IFCI gained access to low-cost funds through the central bank’s Statutory Liquidity Ratio (SLR), allowing it to extend loans and advances to corporate borrowers at concessional rates.