Dubai-based banking group, Emirates NBD, has revealed that it will acquire a majority share in an Indian bank. This move represents the most significant foreign investment in India’s financial sector to date.
Emirates NBD has confirmed an arrangement to purchase a 60 percent stake in RBL Bank, based in Mumbai. The deal, worth approximately $3 billion, will be carried out through a preferential issue of shares. This acquisition will set a new record for foreign direct investment in India’s financial services industry.
Emirates NBD has expressed that the acquisition demonstrates its confidence in the Indian economy and emphasizes the strategic significance of India within the India-Middle East-Europe Economic Corridor (IMEC).
“This strategic partnership marries RBL Bank’s burgeoning domestic franchise with Emirates NBD’s regional reach and financial expertise, providing a unique platform for growth and innovation”, says Shayne Nelson, group CEO of ENBD. He further added that a more substantial presence in India via a well-established business such as RBL Bank will complement ENBD’s services to customers operating across the MENATSA region.
What percentage stake is Emirates NBD acquiring in RBL Bank?
Emirates NBD is acquiring a 60 percent stake in RBL Bank.
What is the approximate worth of the deal between Emirates NBD and RBL Bank?
The deal is approximately worth $3 billion.
How does the acquisition of RBL Bank benefit Emirates NBD?
The acquisition not only allows Emirates NBD to increase its presence in India but also complements its services to customers across the MENATSA region. It also provides a unique platform for growth and innovation by combining RBL Bank’s domestic reach with Emirates NBD’s regional reach and financial expertise.
