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Informist, Tuesday, Aug 27, 2024

 

NEW DELHI – IndusInd International Holdings Ltd today told the Mumbai bench of the National Company Law Tribunal that the debt-ridden Reliance Capital Ltd will be rebranded under the "IndusInd" name after its takeover and that the group has no interest in carrying on the legacy of Reliance.

 

"The Hindujas have no desire whatsoever to carry on business under the brand Reliance," IndusInd International said. "We are anxious that the transition should be done as quickly as possible because we want to leave this baggage of using the Reliance brand behind."

 

However, the implementation process will take time, Venkatesh Dhond, advocate appearing for IndusInd International said. The concern of Anil Dhirubhai Ambani Ventures Pvt Ltd that the IndusInd group will run the company under the Reliance brand name is misconceived, he said.

 

"To make a transition from Reliance Insurance, since there are various other financial services companies under Reliance Capital, millions of policyholders, and a galore of permissions required, every single product requires IRDAI (Insurance Regulatory and Development Authority of India) approval," Dhond said. This transition will have to be across the board, which will take time, he said, adding that the mark or brand that will be used will only be for the transition that is underway.

 

The tribunal was hearing an application by Anil Dhirubhai Ambani Ventures Pvt Ltd seeking to restrain IndusInd International from using the "Reliance" brand once the resolution plan for Reliance Capital is implemented. Anil Dhirubhai Ambani Ventures said that it had terminated its brand licensing agreement with Reliance Capital in June 2021, citing financial defaults. The debt-ridden company continued to use the brand regardless, it said.

 

In February, the Mumbai bench of the tribunal approved the resolution plan presented by Hinduja Group’s IndusInd International Holdings for Reliance Capital. The tribunal also allowed IndusInd International to use the "Reliance" brand for three years, in line with the existing agreements between the parties.  End

 

Reported by Surya Tripathi

Edited by Rajeev Pai

 

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