09 Feb 2026 | 5 Mins Read
REC and PFC shares face uncertainty post-merger announcement
Flipitmoney
The board of PFC and REC approved a merger, retaining the merged entity as a "government company". PFC owns 52.6% stake in REC, with 56% in PFC. Centre's stake will fall to 42% due to share swap. A merger to qualify the entity as a "government company" requires Centre's stake above 51%, necessitating a possible capital infusion or amendment to the Companies Act 2013.