Taking a u-trun from its earlier stance, the Reserve Bank of India will meet the large shareholders of IL&FS on Friday, said sources familiar with the matter.

Other shareholders including State Bank of India, HDFC and Central Bank of India will not be part of the meeting anymore, sources privy to the matter told CNBC-TV18.

LIC is the largest shareholder with a fourth of the firm’s equity, while Orix Corporation of Japan owns 23.5 percent.

IL&FS is scheduled to host the annual general meeting (AGM) on September 29. The company's board is also set to meet on the same day to consider the capital infusion plan.

Earlier, RBI has called off a meeting with IL&FS shareholders.

The central bank had earlier called for a meeting with IL&FS shareholders on Friday to discuss the capital infusion plan.

Although the government has no holding in the company, some of the state-owned financial firms including LIC and SBI are shareholders of the non-banking financial company (NBFC). LIC is the largest shareholder with a fourth of the firm’s equity, while Orix Corporation of Japan owns 23.5 percent.

Earlier this month, IL&FS Group defaulted on inter-corporate deposits and commercial papers.

IL&FS, which is credited for building the longest tunnel in the country (the Chenani-Nashri tunnel), is sitting on a debt pile of around Rs 91,000 crore and had been downgraded to junk status by rating agencies following the default.

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First Published:Sept 27, 2018 1:03 PM IST