According to the prospectus for the initial public offering (IPO) pursuant to the articles of association and the shareholders’ agreement dated April 23, 2015 and amended on September 17, 2015, the agreement grants the IGE and RG groups “rights to first refusal to any of our equity shares proposed to be transferred by the other group to any third party, including through transfers of our equity shares other than through the stock exchange”.
The shareholders’ agreement also gives the IGE group the right to nominate three non-independent directors, and the RG group one non-independent director. One director each of the two groups, however, can become a non-retiring director. The IGE group also has the right to appoint the top brass — chairman of the board, CEO, managing director and president of the company. However, the shareholders have to endorse the appointment of MD. In the case of CEO and president, the board also needs to clear the appointment. It is believed that this arrangement might also come under discussion among the law firms for possible changes.
spokesperson did not response to a query as the company is going through ‘a silent period’. However, analysts point out that both the promoters have not made any attempt to sell their stakes after the IPO.