The Federal Bank as well as the AU Small Finance Bank informed the stock exchange in separate filings here on Thursday, that the Reserve Bank of India (RBI) has cleared the acquisition of 9.99% stakes each in both banks by Kotak Mahindra Bank Ltd.
Standard Chartered had earlier sold its personal loan business to Kotak Mahindra Bank.
The agency expects the non-performing loan (NPL) ratio to stay between 2 to 3 per cent over the next year.
Federal Bank was penalised as it issued some demand drafts, each for a value of rupees fifty thousand and above, without incorporating the name of the purchaser on the face of it.
At 9.39 am, the Sensex was down 67.11 points, or 0.11 percent, and the Nifty was down 18.10 points, or 0.100 percent, at 18,127.30.
Earlier in July 2020, the South-based lender had received RBI's nod for reappointment of Srinivasan as Managing Director and Chief Executive Officer till September 22, 2021.
Its Net Interest Income grew by 17 per cent (YoY) to reach Rs 1,420 crore, the bank said in a statement.
After a foray into the life insurance business and setting up of a NBFC subsidiary, Kerala-based Federal Bank is now…
