On Tuesday, the State Bank of India announced that it had received the approval of the Executive Committee of its Central Board to acquire a 100 per cent stake of SBI Capital Markets in SBICap Ventures.
The lender said the cost of the acquisition is Rs 708 crore. The executive committee of the bank’s central board has given final approval for State Bank of India to acquire a 100 per cent stake of SBI Capital Markets Ltd in SBICap Ventures Ltd, the country’s largest lender, said in a regulatory filing.
The bank said SBICAP Ventures is engaged in asset and investment management, with assets under management (AUM) of Rs 33,055 crore as of December 2023. The lender said the stake acquisition from SBI Capital Markets is for better governance. The proposed acquisition transaction is being conducted on an arm’s length basis.
42.06 Crore Profit In Third Quarter
The lender said that RBI and SEBI have also given their approval. According to the regulatory filing, the acquisition will be completed by February 25, 2024. SBICAP Ventures posted a net profit of Rs 42.06 crore in the third quarter of the current financial year.
