Open Network for Digital Commerce: Kotak Mahindra, Axis Bank acquire nearly 8% stake each in ONDC

Kotak Mahindra Bank and Axis Bank have acquired 7.84 per cent stake each in the open public digital infrastructure framework entity ONDC.

Both the banks have invested Rs 10 crore each in the entity.

"Kotak Mahindra Bank has subscribed to 10,00,000 equity shares of Open Network for Digital Commerce (ONDC) for a consideration of Rs 10 crore, translating into an equity shareholding of 7.84 per cent in ONDC as on March 22, 2022," Kotak said in a regulatory filing on Wednesday.

In a separate filing, Axis Bank said ONDC on March 22 allotted Axis Bank 10,00,000 equity shares of face value of Rs 100 each for a consideration of Rs 10 crore. Post allotment, the shareholding of the bank in ONDC is 7.84 per cent.

ONDC was incorporated in India on December 30, 2021 and is into creating an open public digital infrastructure to develop and transform the Indian digital commerce ecosystem for both goods and services.

"The bank wishes to participate in the creation of infrastructure to develop and transform the Indian digital commerce ecosystem and has therefore made the investment in ONDC," Kotak Mahindra Bank said.

Axis Bank said it wishes to participate in the creation of infrastructure to develop and transform the Indian digital commerce ecosystem and has therefore made the investment in ONDC.