Mahindra & Mahindra Ltd. on Wednesday, July 26, 2023, said that it acquired a 3.53% stake in private sector lender RBL Bank for Rs 417 Crore. Further investments up to a 9.9% interest were also discussed by the company.
“We have acquired a 3.53 % stake in RBL Bank as an investment at a cost of Rs. 417 Crores. We may consider further investment subject to pricing, regulatory approvals and required procedures. However, in no circumstance will it exceed 9.9%,” M&M said in an exchange filing.
Although the exact date of the transaction is unknown.
Mahindra Group’s financial services investments and expansion ambitions will mostly be carried out through the group’s publicly traded company, Mahindra & Mahindra Financial Services.
Meanwhile, the bank issued its own statement, rejecting media reports that the Mahindra Group had purchased a “close to 5% stake in RBL Bank.”
Shares of the RBL Bank closed 7.13% higher at Rs 238.80 BSE. While the shares of M&M closed 1.32% down at Rs 1545.55 apiece on BSE.
For investment related articles, business news and mutual fund advise
You have already subscribed
Story first published: Wednesday, July 26, 2023, 20:37 [IST]