PNB Housing Finance has filed an appeal before the Securities Appellate Tribunal (SAT) to challenge the SEBI's June 18 order to halt its Rs 4,000-crore transaction with a consortium led by private equity major Carlyle.
The consortium includes former HDFC Bank MD and CEO Aditya Puri and private equity funds General Atlantic and Ares SSG.
The development comes after SEBI halted the deal temporarily and directed the mortgage lender to undertake a valuation exercise based on the firm’s articles of association.
"... Company has filed an appeal before the Securities Appellate Tribunal against the letter issued by the Securities and Exchange Board of India on June 18, 2021," PNB Housing Finance said in a regulatory filing on Monday.
SEBI has called the deal "ultra-wires" saying it violates the Article of Association (AOA).
On May 31, a group of investors led by the Carlyle Group had announced an investment of Rs 4,000 crore in PNB Housing Finance, a listed entity. According to the deal, Rs 3,200 crore was to be raised through equity shares and Rs 800 crore by issuance of warrants.
