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merger of nbfc

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(Querist)
05 March 2010 Dear All,

I have two queries:

1. If a nbfc pvt ltd is merged into non Nbfc listed company
what will be the status of non nbfc company, will it automatically become nbfc company

2. can a nbfc company be demerged into two nbfc companies

Waiting for quick reply from experts

thanks

Loveleen Gupta
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Rasesh

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Rasesh (Expert)
06 March 2010 1) If the NBFC Private Limited is merged with the NON-NBFC company, then RBI will assess the status of the merged entity and depending on that the NBFC status will be determined.

2) A NBFC can be demerged provided you can provide two undertakings.
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