Many banks have subscribed to a portion of equity shares of IBBIC Private Limited ("IBBIC") to provide distributed ledger technology (DLT) solutions in the financial sector. Right from major lenders
SBI, HDFC Bank and
ICICI Bank to South Indian Bank and IDFC First Bank - they all have taken a piece of IBBIC.
These banks are -
HDFC Bank, ICICI Bank, Axis Bank, Kotak Mahindra Bank, SBI,
Bank of Baroda, Indian Bank, RBL Bank, IDFC First Bank, South Indian Bank and Punjab National Bank among others.
Most of these lenders have acquired 50,000 Equity Shares having a face value of Rs10 each and representing a 5.5% stake in IBBIC. The investment is about Rs5 lakh.
However, Bank of Baroda and ICICI Bank bought stakes slightly different than other lenders.
Bank of Baroda bout 50,000 Equity Shares representing 5.56% of the issued and paid-up capital of IBBIC. Although, the transaction valued and the number of equity shares that were subscribed was the same as other banks.
Notably, ICICI Bank bought 49,000 fully paid-up equity shares constituting 5.44% of the issued and paid-up share capital of IBBIC. The investment made by the bank is about Rs4.9 lakh.
Since the above-mentioned acquisition is below 10% stake in IBBIC, thereby, regulatory approval was not required.
IBBIC incorporated on May 25, 2021, is engaged in the business of designing, building, implementing, and commercializing distributed ledger technology (“DLT”) solutions including the development of DLT platforms, applications, ventures for the financial services sector.
The equity ownership of IBBIC is aimed at providing DLT solutions for the financial services sector.