NEW DELHI: Indiabulls Housing Finance today said it will acquire a 39.76 per cent stake in the UK’s OakNorth Bank for USD 100 million (about Rs. 661 crore). The company said in its statement on 12th November, the acquisition will help it chart a roadmap to a deposit-taking franchise.
The housing finance company has received Indian and UK regulatory approvals. This includes consent from the RBI, India’s National Housing Bank and the Prudential Regulation Authority (PRA) of the Bank of England and Financial Conduct Authority (FCA) of the UK, Indiabulls said. After this deal, the company will be the largest shareholder in the bank,” Indiabulls Housing Finance said in a regulatory filing. OakNorth Bank is a licensed UK commercial Bank.
Indiabulls Housing Finance said the investment has been identified and approved by the Strategic Investment Committee for Liability Franchise Development headed by K C Chakrabarty, an independent director on the Board and ex-Deputy Governor of the Reserve Bank of India, specially constituted by the Board for the purpose of creating a practical roadmap to a deposit-taking franchise. .