Future Group merges with mall developer Star Shopping

By

Isabelle Crossley

Published
Jan 31, 2018

The Indian business giant Future Group’s primary retail infrastructure development unit, Future Market Networks, is merging with the mall developer Star Shopping.

The two businesses has a board meeting on January 20 and a filing was submitted to the Bombay Stock Exchange (BSE), stating that both parties had: “unanimously approved the swap ratio and in-principle approved the scheme of amalgamation of Star Shopping Centres (SSCPL or transferor company) into Future Market Networks (FMNL or the company or transferee company) in accordance with the provisions of Section 230 to 232 of the Companies Act, 2013 and authorised the committee of directors to do all such acts and deeds as may be required to implement the same.”

Star Shopping Centres Private Limited, which was founded by Shilpa Malik and Pranay Sinha in 2008, had previously sold a 60 percent stake in its company to Future Group.

The merger is designed to simplify its business dealings rather than greatly change operating mechanisms.

The filing also stated: “rationalising the group structure to ensure optimised legal entity structure more aligned with the business and reorganising the legal entity in the group structure so as to obtain significant cost savings and/or simplification benefits.”