RBI gives approval to SBIFML to acquire 9.99% stake in HDFC Bank

The Reserve Bank gave its go-ahead to SBI Funds Management (SBIFML) to acquire up to 9.99 per cent stake in HDFC Bank, the private sector lender announced today (March 17, 2023) .
HDFC Bank said in an exchange filing that the approval has been granted with reference to the application made by SBIFML to the RBI.

"...We would like to inform you that the RBI vide its letter dated May 16, 2023 addressed to SBIFML, has accorded its approval to SBIFML for acquiring up to 9.99 per cent of the paid-up share capital or voting rights of HDFC Bank Limited," the bank said.

The statement further read that SBIFML had been advised by the RBI to acquire the major shareholding in the bank within a period of six months (by November 15, 2023).

SBIFML has to ensure that the aggregate holding in the bank remains below 10 per cent of the paid-up share capital or voting rights of HDFC Bank at all times.

After the deal was announced, HDFC Bank shares closed at Rs 1,638.65 apiece on BSE, down 0.49 per cent from its opening price of Rs1,646.75.