The possible acquisition of Dewan Housing Finance Corporation Limited (NSEI:DHFL) by Oaktree Capital Management, L.P. will be unable to meet the capital adequacy norms prescribed by the National Housing Board (NHB) and the Reserve Bank of India (RBI), wrote Ajay Piramal, Chairman of the Piramal Enterprises Limited (BSE:500302), in a letter to the RBI. The letter comes days before the lenders complete voting on the resolution plans submitted by Oaktree Capital, Piramal group, and the Adani Enterprises Limited (BSE:512599) for the debt-laden housing finance company. Oaktree Capital intends to maintain DHFL as a standalone entity, but Piramal Group proposes to merge it with its financial services business, thereby considerably enhancing the equity base of DHFL.

In the last meeting of the lenders, Piramal's offer had scored better than Oaktree Capital's. The voting will be completed on January 14, 2021.