IDFC FIRST Bank Limited on Wednesday informed the exchanges that it has received regulatory approval from the Reserve Bank of India (RBI) permitting ICICI Prudential Asset Management Company Limited, along with entities within the ICICI Bank group, to acquire an aggregate stake of up to 9.95% of the bank’s paid-up share capital or voting rights.
The approval follows a formal application seeking the central bank’s prior clearance for the proposed acquisition, paving the way for ICICI Prudential AMC to build a significant shareholding in the private sector lender.
"This is to inform you that ICICI Prudential Asset Management Company Limited (“Applicant”) had applied to the Reserve Bank of India (“RBI”) for seeking its prior approval to acquire up to 9.95% paid-up share capital of IDFC FIRST Bank Limited (“Bank”). In this regard, we wish to inform you that the Bank has today received an intimation from the RBI, stating that it has accorded its approval to the Applicant along with group entities of ICICI Bank Limited, to acquire aggregate holding of up to 9.95% of the paid-up share capital or voting rights of the Bank, subject to the conditions specified therein and compliance with the relevant provisions of the Banking Regulation Act, 1949, Reserve Bank of India (Commercial Banks - Acquisition and Holding of Shares or Voting Rights) Directions, 2025 dated November 28, 2025 (as amended from time to time), provisions of the Foreign Exchange Management Act, 1999, regulations issued by Securities and Exchange Board of India, and any other statutes, regulations and guidelines, as applicable," the company filing said.
"The RBI, while granting the above referred approval has also conveyed that if the Applicant fails to acquire major shareholding within a period of 1 (one) year from the date of aforesaid RBI letter, the approval shall stand cancelled. Further, the Applicant shall ensure that the “aggregate holding” in the Bank does not exceed 9.95% of the paid-up share capital or voting rights of the Bank at all times."
Source Name : Economic Times