RBL Bank raises Rs 330 Crores from CDC Group

RBL Bank - a scheduled commercial banks, on Tuesday, announced that it has raised Rs 330 crore from UK-based development finance institution, CDC Group Plc (CDC) via  Basel III compliant Tier II capital.

Amount raised, is expected to strengthen the capital base of the bank, which which in turn will support its businesses such as SME lending, agribusiness financing and financial inclusion. 

Vishwavir Ahuja, Managing Director and CEO of RBL Bank said,"This infusion of funds is testimony to the trust that CDC Group has in our capability to deliver highly-skilled and technology-driven services. It is also a reaffirmation of the close and long-term relationship we share with CDC."

While investing in RBL Bank, the CDC  Managing Director, Holger Rothenbusch said,"Our support will enable RBL Bank to reach more customers, provide more jobs, and boost the level of financing available to SMEs and agribusiness in the country."

However, in regards to Indian debt market,  Rothenbusch said," "Despite the debt market in the Indian financial sector is well developed, the market for tier-II capital is weak."

RBL Bank is an existing CDC investee company – having received Rs.174 Crores equity investment in March 2014 and subsequent pre-IPO investment of Rs. 44.5 Crores in October 2015.

CDC has consistently supported the bank’s growth as it developed from a regional bank to a pan-India bank with 201 branches and 373 ATMs across 16 Indian states and Union Territories serving over 2 million
customers.