Emirates NBD (ENBD) has acquired up to a 60 per cent stake in RBL Bank through a primary infusion of approximately USD 3 billion (around INR 26,850 crore). The transaction marks the largest-ever foreign direct investment (FDI) and equity fundraise in India’s banking industry.
The boards of RBL Bank and Emirates NBD have formally approved the proposed deal, which will be executed via a preferential share issue, subject to necessary regulatory approvals. Following this, ENBD will launch a mandatory open offer for an additional 26 per cent stake from RBL Bank’s public shareholders, in line with SEBI’s Takeover Regulations.
This landmark investment is expected to fortify RBL Bank’s capital base, bolster its Tier-1 capital ratio, and provide the financial muscle needed to accelerate growth. The partnership will also enable enhanced deposit mobilisation, technology integration, and branch network expansion across India.
As part of the transaction, Emirates NBD’s existing India branches will be merged with RBL Bank in accordance with Reserve Bank of India (RBI) guidelines, creating a unified and stronger banking entity.
Shayne Nelson, Group CEO, Emirates NBD, underscored the strategic synergy between the two institutions, stating that the collaboration will combine ENBD’s regional strength with RBL Bank’s extensive domestic reach.
“This partnership reflects our long-term commitment to India and our shared vision of driving innovation and growth across the India–Middle East–Europe Economic Corridor,” he added.
R Subramaniakumar, Managing Director & CEO, RBL Bank, described the deal as a transformative milestone for the bank.
“This strategic partnership positions RBL Bank for its next phase of growth, with a strengthened capital foundation and the backing of a globally respected financial institution. It will deliver enhanced value for our customers, employees, and shareholders,” he remarked.
With a market capitalisation of approximately USD 43 billion, Emirates NBD serves over 9 million customers across 13 countries. RBL Bank, with a legacy of over 80 years, caters to more than 15 million customers through 564 branches across India and plays a key role in the country’s digital payments ecosystem.
The proposed investment not only underscores India’s growing attractiveness as a financial hub but also strengthens economic and banking ties between India and the UAE, setting a new precedent for cross-border collaboration in the sector.
The transaction is subject to customary regulatory and closing approvals and, once completed, is expected to reshape the competitive landscape of private banking in India.
Send news announcements/press releases to:
info@b2bmarketmedia.com
