Kotak Mahindra Bank (NSE:KTKM) on Thursday said it has completed the acquisition of the personal loan portfolio of Standard Chartered (LON:STAN) India for Rs 3,330 crore.
The acquisition, which received the necessary regulatory approvals, will help Kotak strengthen its position in the retail credit market, Kotak Mahindra Bank said in an exchange filing.
The bank said the high-quality loan portfolio will enhance its presence in the affluent customer segment and further solidify its leadership in retail lending.
The exchange filing stated, "we refer to our intimations dated October 18, 2024 and November 27, 2024 in relation to the proposed acquisition by the Bank of the Personal Loan book of Standard Chartered Bank, India, as stated therein".
In this regard, we now wish to inform you that, after having received the necessary regulatory approvals and upon fulfillment of the relevant conditions precedent, the Bank has, today, i.e., on January 23, 2025, completed the aforesaid acquisition," the bank further said.
This is the first major acquisition under Ashok Vaswani, who took charge as the Managing Girector and CEO of Kotak Mahindra Bank on January 1 this year.
Kotak Mahindra Bank is looking at aligning the acquisition to its strategy to drive growth, expand market share and unlock opportunities in the 'Salaried Affluent' segment.
Earlier, under Uday Kotak's leadership, it had explored acquiring Citibank India's consumer business, including its credit card portfolio. However, the business has now gone to Axis Bank (NSE:AXBK).
Kotak Mahindra Bank reported advances growth of 16 per cent year-on-year for the quarter that ended December 2024, up at Rs 4.33 lakh crore.
Unsecured retail advances, including microcredit, accounted for 10.5 per cent of net advances, versus 11.3 per cent in the previous quarter.
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