ING sells 3% in Kotak Bank for over $1 billion, exits lender

Published On: 16, Feb 2019 | Source: Timesofindia

MUMBAI: Dutch financial services major ING Group on Friday sold its entire 3.1% stake in domestic banking major Kotak Mahindra Bank, consisting about 5.8 crore shares, through two block deals on the NSE for a total consideration of nearly Rs 7.2 crore, or a little over $1 billion. The buyers’ names were not available on the exchange.


Soon after ING Group’s exit from the Indian lender, the bourses were informed that Mark Newman, the Dutch firm’s director on Kotak Bank’s board, resigned from his post.


Since November 2014, after ING sold its Indian arm ING Vysya Bank to Kotak Bank through a share-swap deal, the European financial services group was holding a 6.5% stake in the Indian lender through its arm, ING Mauritius Investments. In the last four years ING Group had pared its holding in Kotak Bank to 3.1%.


ING


At the close of Friday’s trading, Kotak Bank’s stock was down 3.7% on the BSE at Rs 1,241, while the average price that ING Group realised from the sale was about Rs 1,227 — a discount of 4.8% from Thursday’s closing price of Rs 1,289. A total of 8.9 crore shares of the bank changed hands on the two exchanges, data from NSE and BSE showed.