Kotak Mahindra Bank Turns 40: Uday Kotak Recalls Launching It With Rs 30 Lakh In A 300 Sq Ft Office
Uday Kotak, Founder and Director, Kotak Mahindra Bank, reminisced about pumping Rs 30 lakh, which is equivalent to roughly Rs 3.2 crore today per inflation calculators
As Kotak Mahindra marks 40 years today, Uday Kotak, Founder and Director, Kotak Mahindra Bank, reflected on the company's journey from its origins in 1985.
He reminisced about investing Rs 30 lakh, which is equivalent to roughly Rs 3.2 crore today per inflation calculators, and transforming a modest finance firm into India's third-largest private bank by market cap in four decades.
In a post on social media platform X, Kotak wrote, "40 years ago today, I started a company with Rs 30 lakh capital, in a 300 sq ft office in Fort, Mumbai. Today, that company, which I ran for 38 years, is Kotak Mahindra Bank. As this Indian institution navigates changing times, may it prosper. Happy Birthday…tum jiyo hazaaro saal." [sic]
Kotak attached photo collages tracing the bank's evolution through archival images of early boardrooms, office inaugurations, ATM launches, and Kotak's portrait, visually spanning four decades of expansion from bill discounting to full-service banking.
Kotak's journey began in 1985 as Kotak Capital Management Finance Ltd, which initially focused on bill discounting. Over four decades, it transformed into India's third-largest private sector bank by market capitalisation, a distinction it achieved after receiving a banking license from the Reserve Bank of India in 2003, making it the first non-banking finance company (NBFC) in India to be converted into a bank.
The post has since garnered significant attention online, resonating with aspiring entrepreneurs and industry veterans alike.
A user, Abhishek Mukherjee, said, "What a story — this is the kind of milestone that reminds you what real compounding looks like," while another user praised Kotak's dedication saying, "Passion when mixed with hard and smart work yields results that knows no bounds. Kotak Mahindra Bank is a living example of this analogy. Hats off to your entrepreneurial spirit and dedication."
Another user Sanjay Thakur, wrote, "Congratulations Uday and fond memories of March 28, 2003, which was the beginning at Mittal Court. The best and the finest financial conglomerate of India and wishing the team best for the journey ahead."
Kotak's message was not just a throwback, but also an acknowledgement of the institution's current transitional phase. Kotak, the founder and promoter of Kotak Mahindra Bank, resigned as Managing Director and CEO of the private sector lender with effect from September 1, 2023.
