ING Group plans to sell its stake through block deals in the secondary market this wee
Dutch financial services company ING Group is selling its 3.7 percent stake in Kotak Mahindra Bank in a deal valued at Rs 7,600 crore, sources told The Economic Times.
ING Group plans to sell its stake through block deals in the secondary market this week. The stake sale could be undertaken at Rs 1,070 per share, a 5 percent discount to its November 14 closing price of Rs 1,130.
The stock is trading flat in early trade. As on September 30, ING held a 3.73 percent stake in KMB.
This sale is a part of the Dutch lender’s stake monetisation plan, the report said.
Sources told the paper that Canada Pension Plan Investment Board, which owns a 6.04 percent stake, could be one of the potential buyers. Both parties declined to comment on the deal.
ING had sold a 2.5 percent stake in KMB in 2016, raising Rs 3,650 crore through open market transaction.
In April 2015, ING acquired a stake in KMB when ING Vysya Bank merged with KMB. A Memorandum of Understanding (MoU) was signed between the two parties saying they will work together in cross-border business opportunities and to use each other’s network for their clients.
