Capital First's merger with IDFC Bank gets RBI nod
Clearing the decks for the merger of IDFC Bank and Capital First, the Reserve Bank of India has issued a no objection certificate to the deal.
Capital First, provider of loans to small businesses, is backed by buyout firm Warburg Pincus. Capital First is being acquired by IDFC Bank for around $1.5 billion.
After getting the RBI's nod, IDFC Bank will now have to approach the shareholders and creditors of the merged companies. A nod from the NCLT is also required to clear the way for both the entities to merge.
Capital First Home Finance and Capital First Securities will also merge with the IDFC Bank.
The proposed deal had received the approval from competition watchdog CCI in March.
Capital First, provider of loans to small businesses, is backed by buyout firm Warburg Pincus. Capital First is being acquired by IDFC Bank for around $1.5 billion.
After getting the RBI's nod, IDFC Bank will now have to approach the shareholders and creditors of the merged companies. A nod from the NCLT is also required to clear the way for both the entities to merge.
Capital First Home Finance and Capital First Securities will also merge with the IDFC Bank.
The proposed deal had received the approval from competition watchdog CCI in March.
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