.jpeg)
RBI approves HDFC Bank to acquire 9.5% stake in AU Small Finance Bank over a the condition
RBI: HDFC Bank has also informed the exchange that it has received RBI approval to buy a 9.5% stake in Kotak Mahindra Bank and AU Small Finance Bank. This approval is valid for one year after the RBI approval letter is issued. Its validity will expire on 02 January 2026.
The Reserve Bank of India (RBI) has approved HDFC Bank to acquire a maximum 9.50 per cent stake in AU Small Finance Bank. However, the central bank has put a condition that if the deal is not done within one year from the date of approval letter, the approval will get revoked.
AU Small Finance Bank has received a letter issued by RBI on January 03, 2025, addressed to HDFC Bank Limited. The said letter approves the proposed acquisition by HDFC Bank and its group entities, namely, HDFC Mutual Fund, HDFC Life Insurance, HDFC Pension Management, HDFC ERGO General Insurance and HDFC Securities, of up to 9.50% of the paid-up share capital or voting rights of AU SFB within a period of one year.
HDFC Bank further told the exchange that it has obtained RBI approval to acquire up to 9.5% stake in Kotak Mahindra Bank and AU Small Finance Bank. This approval is valid for one year from the date of issue of RBI's approval letter. Its validity will expire on January 02, 2026.
