Kotak Bank Stake in AU & Federal Bank Approved

New Delhi, May 7 (PTI) The RBI has approved Kotak Mahindra Bank to hike its "aggregate holding" to 9.99 per cent each in AU Small Finance Bank and Federal Bank.

In separate regulatory filings on Thursday, AU Small Finance Bank and Federal Bank announced that they have received the approval letter from the Reserve Bank of India on May 6.

The central bank has accorded its "approval to Kotak Mahindra Bank Ltd (KMBL) (along with its subsidiaries, the funds/schemes managed by KMBL's subsidiaries, collectively referred to as 'Kotak Mahindra Group') to acquire 'aggregate holding' of up to 9.99 per cent of the paid-up share capital or voting rights in AU SFB," AU Small Finance Bank said.


Similarly, Federal Bank, in a BSE filing, said the RBI has accorded its approval to Kotak Mahindra Bank for acquiring "aggregate holding" of up to 9.99 per cent of the paid-up share capital or voting rights of the bank.

Shares of AU Small Finance Bank were trading at Rs 1,034.60, up 0.99 per cent over the previous close on BSE.

Federal Bank shares were trading 1.47 per cent up at Rs 297.40. Kotak Mahindra Bank scrip was quoting 1.12 per cent higher at Rs 380.40.