Future Enterprises had decided to sell its 25% stake in Future Generali India Insurance Company to Generali.
Future Enterprises had decided to sell its 25% stake in Future Generali India Insurance Company to Generali.
An Indian court has restrained Future Enterprises from selling its stake in its general insurance joint venture business with Italy’s Generali, following a legal challenge by a group representing bondholders, two sources familiar with the matter told Reuters.
Future Enterprises said in January that it has decided to sell its 25% stake in Future Generali India Insurance Company to Generali.
The IDBI trusteeship went to court to represent foreign bondholders who had subscribed to Future Enterprises companies that had defaulted. One of the sources said that the bondholders had the right not to reduce their Future Generali stake to Future Enterprises.
Following the IDBI hearing, a civil court in Mumbai city ordered Future Enterprises to stop selling the stake until the next hearing on March 10.
Future and IDBI Trusteeship did not immediately respond to a request for comment.
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