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FACTBOX: Large cross-border transactions in India's Financial Sector this Year

In 2025, India's financial industry saw a number large deals. This included two rare transactions in which foreign banks bought significant stakes in Indian lenders.

According to Grant Thornton, between January and September of 2025, the financial sector has completed mergers and purchases worth $8 billion, which is a 127% rise over the same time period last year.

These are the key facts regarding major deals.

EMIRATES BANK - RBL BANK

Dubai-based Emirates NBD is buying a 60% stake of Indian private lender RBL Bank for $3 billion. This deal represents the largest foreign acquisition in Indian financial services to date.

The Middle Eastern lender now has access to an extensive branch network that it plans to merge with its local affiliate.

SMBC – YES BANK

Sumitomo Mitsui Banking Corporation, a Japanese bank, agreed in May to buy a 20% stake of Yes Bank from the company for $1.6 billion.

It purchased the stake from several Indian banks who rescued the bankrupt lender by 2020. It purchased an additional 4,99% in September.

Blackstone Federal Bank

In October, Blackstone's Singapore-based affiliate agreed to invest $705.05 million in India’s Federal Bank for a 9.9% equity stake.

After the deal is completed, Blackstone's affiliate Asia II Topco XIII Pte Ltd will have the right to nominate a non-executive member to the Federal Bank board.

IHC – SAMMAAN CAPITAL Abu Dhabi’s International Holding Company agreed earlier this month to invest nearly $1 billion in Sammaan Capital. Sammaan Capital is a nonbank lender that specializes in housing loans.

IHC will make an open offer for the purchase of an additional 26% share by retail investors in accordance with Indian takeover regulations.

This was one of the largest investments in India's nonbank financial sector.

WARBURG PINCUS, ADIA – IDFC FIRST BANK

In April, Warburg Pincus (Warburg Pincus) and Abu Dhabi Investment Authority(ADIA), agreed to invest $877 millions in IDFC FIRST bank through convertible preferred shares.

The two funds together will own 15% of the converted shares.

BAIN CAPITAL - MANAPPURAM FINANCE

Bain Capital acquired an 18% stake of Manappuram Finance in March for $508 million.

Bain will increase its stake from over 40% to more than 40% after making a public offer to retail investors.

Manappuram, a leading NBFC for gold loans with more than 5,300 branches, is a leader in the industry.

BAJAJ GROUP-ALLIANZ In March of this year, India's Bajaj Group purchased a 26% share in two joint venture companies - Bajaj Allianz General Insurance Ltd. and Bajaj Allianz Life Insurance Ltd. - back from its joint venture partner Allianz. This ended a decade long partnership.

Allianz then partnered with Reliance's Jio Financial Services in order to establish both general and life-insurance businesses. (Reporting and writing by Gopika Gopakumar, Editing by Sam Holmes Jan Harvey Sherry Jacob Phillips; Sherry Jacin-Phillips; Sherry Jacob Phillips; Sherry Jan Harvey)

(source: Reuters)