Emirates NBD to Acquire Majority Stake in Indian Bank
Dubai-headquartered Emirates NBD has announced plans to buy a majority stake in an Indian bank, in what will be the largest foreign investment ever in the country’s financial sector.
Emirates NBD has entered into an agreement to acquire a 60 percent stake in Mumbai-based RBL Bank for approximately $3 billion through a preferential issue of shares, according to a statement. The deal will mark the largest ever foreign direct investment in India's financial services sector.
According to Emirates NBD, the acquisition reflects its confidence in the South Asian nation and reinforces the «strategic importance within the India-Middle East-Europe Economic Corridor (IMEC)».
«This strategic alignment brings together RBL Bank’s growing domestic franchise with Emirates NBD’s (ENBD) regional reach and financial expertise, creating a unique platform for growth and innovation,» said ENBD group CEO Shayne Nelson. «An enhanced presence in India for ENBD, through a well-established business like RBL Bank, would further complement ENBD’s service to customers operating throughout the MENATSA region.»
