INSUBCONTINENT EXCLUSIVE:
Kotak Mahindra Bank on Tuesday said that the Reserve Bank of India (RBI) has termed its recent preference share allotment as not per
promoter holding dilution requirement
perpetual non-cumulative preference share.
The private lender had issued preference shares on August 2 to dilute promoter stake
Uday Kotak, the founder and promoter of the bank, pared down his stake in the bank to 19.70 per cent from about 30 per cent following
issuance of preference shares
Kotak's holding in the bank prior to the preference share issuance was 29.74 per cent.
The NCPS Issuance Committee of the board of
directors of the bank on August 2 hadapproved the allotment of 100,00,00,000 Perpetual Non-Cumulative Preference Shares (PNCPS) to eligible
investors at the issue price of Rs 5 per PNCPS, aggregating to Rs 500 crore pursuant to the issue.
ET had earlier reported that RBI may
