Profit

Kotak Mahindra Bank To Acquire BSS Microfinance

 Share
EMAIL
PRINT
COMMENTS
Kotak Mahindra Bank To Acquire BSS Microfinance

Kotak Mahindra Bank said the acquisition process is expected to be completed in about 3-4 months.


New Delhi: Kotak Mahindra Bank said it will acquire BSS Microfinance for Rs 139.2 crore to
reach a wider customer base.

"The bank has executed a share purchase agreement for acquisition of 99.49 per cent (equivalent to 2,65,91,856 equity shares of Rs 10 each) of the equity shareholding of BSS Microfinance Private Limited from its existing shareholders," the private sector bank said in an exchange filing.

BSS Microfinance is a non-banking financial company, classified as an NBFC-MFI.

The transaction is subject to obtaining all necessary regulatory and other approvals, including from the Reserve Bank of India, Kotak Mahindra Bank said.

The acquisition process is expected to be completed in about 3-4 months for a cash consideration of Rs 139.2 crore, it added.

Kotak Mahindra Bank said the acquisition is towards its "long term need to embrace financial inclusion as well as to cater the needs of weaker sections".

Total turnover of BSS Microfinance in 2015-16 was Rs 49.5 crore.

As of June 30, 2016, company's loan portfolio was Rs 483 crore, with net worth of Rs 72.9 crore and employee strength of 728.

On Friday, shares in Kotak Mahindra Bank ended 0.82 per cent higher at Rs 778.75 apiece on the BSE, whose benchmark Sensex index finished up 0.14 per cent. 


Get Breaking news, live coverage, and Latest News from India and around the world on NDTV.com. Catch all the Live TV action on NDTV 24x7 and NDTV India. Like us on Facebook or follow us on Twitter and Instagram for latest news and live news updates.

NDTV Beeps - your daily newsletter

................................ Advertisement ................................

................................ Advertisement ................................

................................ Advertisement ................................

Top