MUMBAI: The board of directors of IDFC on Tuesday approved the merger scheme of its wholly owned arms IDFC Alternatives, IDFC Trustee Company and IDFC Projects into itself as part of a simplification of its corporate structure. Last month, as part of the restructuring, the board of IDFC and IDFC Financial Holding Company had appointed Citigroup Global Markets India as investment banker for divestment of IDFC Asset Management Company. In July this year, IDFC received a clarification from the RBI confirming that after the expiry of the lock-in period of five years, IDFC can exit as a promoter of IDFC First Bank. The move was seen by analysts as a precursor to the reverse merger of the bank with IDFC. IDFC has five direct subsidiaries — IDFC Projects, IDFC Financial Holding Company, IDFC Foundation, IDFC Alternatives and IDFC Trustee Company. The management of IDFC has been facing heat from shareholders and analysts for lack of clarity on the issue of a reverse merger with IDFC First Bank. In September, shareholders of IDFC rejected a proposal to reappoint Vinod Rai, former comptroller and auditor general, as director. Rai is also the non-executive chairman of the company. Shareholders took a tough stance on the reappointment as they were unhappy with the management communication concerning future plans. There has been speculation that IDFC might seek a merger with another financial institution. The board also appointed Anita Belani as an additional director for three years, subject to shareholder approval. Belani is co-founder and partner of Emotionally, a mental wellness company specialising in counselling, therapy and coaching.