Motilal Oswal and Raamdeo Agarawal, promoters of the Motilal Oswal Financial Services (MOFSL) will donate five per cent of equity stake by each of them for charitable purpose. They will donate a total of approximately 1.48 crore shares.
In a disclosure to the exchanges, they said, “It will be our endeavour to spend the entire donation amount in next 10 years or preferably earlier.”
Business rejig
Earlier, the board of MOFSL announced restructuring of its business verticals. Accordingly, it will transfer broking and distribution undertaking to Glide Tech Investment Advisory Private Limited, wholly owned subsidiary, by way of slump sale.
The board also gave nod for demerger of wealth business undertaking of MOWL into MOFSL i.e. transfer of Wealth Business from Wholly-owned Subsidiary into parent company.
The company will sell ”Identified Investments” I.e from its investments portfolio which includes investments in listed equity shares, equity mutual funds, alternative investments, etc of the company to Glide Tech. On such sale of investments, Glide will issue its equity and/or preference shares to the company as a consideration equivalent to the fair value of the Investments as on the actual date of transfer (immediately prior to the Scheme coming into effect), it said.
Shares of Motilal Oswal jumped to ₹888 intra-day but closed flat at ₹822.