Dubai-based lender Emirates NBD has received Indian government's approval to acquire stake in RBL Bank Ltd., as per an exchange filing on Friday.
Emirates NBD, one of the largest banks in the middle east, will acquire up to 74% stake in RBL. The lender had received RBI's nod for the acquisition back in April 2026. The central bank had cleared Emirates NBD to acquire up to 74% of RBL Bank's paid-up share capital through a letter dated April 1.
"We have been informed by Emirates NBD Bank (P.J.S.C) (“Investor”) on May 15, 2026, that it has received a letter from the Government of India, Ministry of Finance (Department of Financial Services) dated May 14, 2026, inter alia, approving the Investor's proposed acquisition in the Bank in excess of 49% and up to 74% of the total paid-up equity share capital of the Bank," the filing stated.
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Emirates NBD is set to subscribe to new RBL Bank shares at Rs 280 per equity share under the preferential allotment announced earlier. The deal is expected to close in the first quarter of FY27, subject to remaining approvals and customary conditions.
The proposed issue covers up to 95.91crore fully paid-up equity shares, or a lower number equal to 60% of the post-issue equity capital, subject to adjustments under the investment agreement.
In the start of the month, RBL Bank had called for an extraordinary general meeting to seek shareholder approval for changes linked to Emirates NBD Bank's planned investment, including revised board nomination rights and amendments to the bank's articles of association.
The transaction is set to become one of the most significant foreign investments in an Indian private lender and would give Emirates NBD management control of RBL Bank once completed. India permits foreign investment of up to 74% in private banks, though larger holdings by a single foreign institution require regulatory approval.
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