Anil Singhvi, Managing Editor, Zee Business had an exclusive chat with Siddhartha Mohanty, Managing Director & CEO, LIC Housing Finance, to get clarity on media reports that LIC is planning to merge its housing finance arm with IDBI Bank. Mr Mohanty, however, denied reports, saying there is no proposal to merge LIC Housing Finance with any other entity including IDBI Bank. Excerpts from the Exclusive Chat:

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Q: Shares of LIC Housing Finance has cracked during today's early trade after reports Life Insurance Corporation of India (LIC) may speed up the process of merging its housing finance arm with IDBI Bank. Do you have any such plans of a merger with IDBI Bank?

A: These reports are completely wrong and there is no such proposal related to it. Such reports prop up occasionally to create confusion and I completely deny it.

 

Q: Had you all had any such discussion on such a proposal?

A: No and never.

 

Q: It seems the news has created an out-of-the-box thought due to Finance Minister Nirmala Sitharaman's budget proposal to bring an IPO of LIC. This is why people are thinking that LIC Housing Finance and IDBI may be brought together. Is it not likely to happen? 

A: No, LIC housing doesn't have anything and I would like to repeat that there is no proposal or talks related to it. These talks are out just to mislead people. And, I can't see any such possibility. LIC Housing Finance is a very strong company and is doing well and that's why I can say that the company will run as it is today and we have the trust of our stakeholders on us.  

 

Q: It means you are against any media reports that talks about LIC Housing Finance's merger with LIC or IDBI or any other company?

A: I deny such reports.

 

Q: LIC IPO may result in major developments. So, LIC Housing has nothing to do with the LIC's IPO?

A: LIC Housing is doing good and that's why I don't think that any such thing will happen with us. IPO is a different matter and things will happen in accordance with it.

 

Q: Your company's performance was remarkable in Q3FY20. Can you ensure your investors who have invested in LIC Housing that they must not be afraid and the company will maintain its pace of growth? 

A: The company is running on a growth track and will do better in time to come, especially in the last quarter (Q4FY20). We are doing good in this quarter and expect that we will continue the pace in future as well and provide good returns.