AKP Banking & Finance Digest January 05, 2026

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1. Regulatory Updates

1.1.  India

Reserve Bank of India (RBI)

1.1.1.    RBI releases Report on Trend and Progress of Banking in India 2024–25

Reserve Bank of India (“RBI”) released the Report on Trend and Progress of Banking in India 2024–25 covering performance of commercial banks, co-operative banks and non-banking financial institutions during 2024–25 and 2025–26 so far. It notes that scheduled commercial banks (SCBs) remained resilient with double-digit balance sheet expansion, though deposit and credit growth moderated from the previous year, while the capital to risk-weighted assets ratio stood at 17.4 per cent (seventeen point four per cent) at end-March 2025 and 17.2 per cent (seventeen point two per cent) at end-September 2025.  Asset quality strengthened further with the gross non-performing assets ratio declining to 2.2 per cent (two point two per cent) at end-March 2025 and 2.1 per cent (two point one per cent) at end-September 2025, and profitability remained robust with return on assets at 1.4 per cent (one point four per cent) and return on equity at 13.5 per cent (thirteen point five per cent) in 2024–25, while in H1: 2025–26 return on assets and return on equity were 1.3 per cent (one point three per cent) and 12.5 per cent (twelve point five per cent), respectively. The report also records improved performance for urban co-operative banks, including higher balance sheet growth, a fourth consecutive year of better asset quality, and stronger capital buffers and profitability, and states that non-banking financial companies continued double-digit credit growth with robust capital buffers and improved asset quality.

1.1.2.    RBI issues RBI (Commercial Banks - Financial Statements: Presentation and Disclosures) Amendment Directions, 2026

RBI, by the RBI (Commercial Banks – Financial Statements: Presentation and Disclosures) Amendment Directions, 2026, amended the RBI (Commercial Banks – Financial Statements: Presentation and Disclosures) Directions, 2025 following issuance of the RBI (Commercial Banks – Concentration Risk Management) Amendment Directions, 2025. The amendment modifies the table under paragraph 5(1) (Schedule 1: Capital) to require banks incorporated outside India to disclose, by way of a note, the amount held as deposit, that is earmarked as Credit Risk Mitigation (CRM) for offsetting non-centrally cleared derivative exposures to the head office (including overseas branches), clarifying that such amount is not reckoned for regulatory capital or any other statutory requirements. The amendment comes into force from the date a bank decides to implement paragraphs 3(1) to 3(4) of the Reserve Bank of India (Commercial Banks – Concentration Risk Management) Amendment Directions, 2025 or from April 1, 2026, whichever is earlier.

1.1.3.    RBI issues RBI (Non-Banking Financial Companies – Prudential Norms on Capital Adequacy) Amendment Directions, 2026

RBI issued the RBI (Non-Banking Financial Companies (“NBFC”) – Prudential Norms on Capital Adequacy) Amendment Directions, 2026 on January 1, 2026, amending the RBI (NBFC – Prudential Norms on Capital Adequacy) Directions, 2025. The RBI modified the risk weight table under paragraph 18(1) to prescribe a 75 per cent (seventy-five per cent) risk weight for loans to “high-quality infrastructure projects” (as defined under the RBI (NBFC - Concentration Risk Management) Amendment Directions, 2026) where the borrower has repaid at least 2 per cent (two per cent) of sanctioned project debt, and a 50 per cent (fifty per cent) risk weight where at least 5 per cent (five per cent) has been repaid, with conditions on how repayment thresholds are computed and a fallback to higher risk weights if projects later fail to qualify. The amendments apply from April 1, 2026, or earlier if adopted by an NBFC in entirety, and a transition allows existing lower risk weights to continue until the next review/renewal or March 31, 2027, whichever is earlier, where the new Directions would otherwise increase risk weights.

1.1.4.  RBI issues Reserve Bank of India (Non-Banking Financial Companies – Concentration Risk Management) Amendment Directions, 2026

RBI issued the RBI (NBFC - Concentration Risk Management) Amendment Directions, 2026 on January 1, 2026, amending the RBI (NBFC - Concentration Risk Management) Directions, 2025. The amendment inserts criteria to classify certain infrastructure lending as “high-quality infrastructure projects”, including that the project has completed at least 1 (one) year of operations after commercial operations without breach of material lender covenants, the exposure is standard, revenues depend on concession/contract rights granted by Government/public bodies with protections for the concession period, and lender protections include escrow or Trust and Retention Account ringfencing, pari-passu security over movable and immovable assets, and early termination risk mitigants (such as step-in rights or minimum termination payments). It also requires the borrower to have adequate arrangements for working capital and funding needs as assessed by the lender and restrictions on actions detrimental to lenders (such as additional debt against or further encumbrance of project cashflows/assets without existing lenders’ consent). The Directions apply from when NBFC adopts the related capital adequacy amendment directions in entirety, or April 1, 2026, whichever is earlier.

1.1.5.    RBI clarifies responsibility split for CKYCR-uploaded KYC records under respective KYC Directions for all REs

RBI issued various amendments on December 29, 2025, amending the respective Know Your Customer (“KYC”) Directions of the following Regulated Entities (“REs”): Commercial Banks, Urban Co-operative Banks, Small Finance Banks, Rural Co-operative Banks, Regional Rural Banks, Payments Banks, Non-Banking Financial Companies, Local Area Banks, Asset Reconstruction Companies and All India Financial Institutions, to clarify accountability for customer KYC records uploaded to and downloaded from the Central KYC Records Registry (“CKYCR”), in line with the Department of Revenue office memorandum dated September 18, 2025.The amendment inserts an explanation stating that the regulated entity that last uploaded or updated the customer’s KYC record in CKYCR is responsible for verification of the customer’s identity and/or address, and the RE downloading and relying on current and compliant CKYCR records is not required to re-verify identity and/or address; however, the downloading RE remains responsible for all other aspects of customer due diligence (CDD) and compliance with the Directions, except such identity/address verification.

Securities and Exchange Board of India (SEBI)

1.1.6.     SEBI issued a Circular on Specification of the Consequential Requirements with respect to Amendment of SEBI (Merchant Bankers) Regulations, 1992

Securities and Exchange Board of India (“SEBI”) issued a circular on January 2, 2026, specifying consequential compliance requirements under the Securities and Exchange Board of India (Merchant Bankers) Regulations, 1992, pursuant to the Securities and Exchange Board of India (Merchant Bankers) Amendment Regulations, 2025 (effective January 3, 2026). SEBI introduced phased capital adequacy (net worth) and new liquid net worth requirements for existing Merchant Bankers (“MBs”) by January 2, 2027 and January 2, 2028 (Category I: net worth INR 25,00,00,000 (Indian Rupees Twenty-Five Crore only) and liquid net worth INR 6,25,00,000 (Indian Rupees Six Crore Twenty-Five Lakh only), rising to INR 50,00,00,000 (Indian Rupees Fifty Crore only) and INR 12,50,00,000 (Indian Rupees Twelve Crore Fifty Lakh only); Category II: net worth INR 7,50,00,000 (Indian Rupees Seven Crore Fifty Lakh only) and liquid net worth INR 1,87,50,000 (Indian Rupees One Crore Eighty-Seven Lakh Fifty Thousand only), rising to INR 10,00,00,000 (Indian Rupees Ten Crore only) and INR 2,50,00,000 (Indian Rupees Two Crore Fifty Lakh only).

International Financial Services Centres Authority (IFSCA)

1.1.7.     IFSCA issues circular on extension of deadline for revised Principal Officer and Compliance Officer norms under CMI Regulations

International Financial Services Centres Authority (“IFSCA”), by circular dated December 31, 2025, extended the deadline for implementation of sub-regulations (2), (3) and (8) of Regulation 9 of the IFSCA (Capital Market Intermediaries) Regulations, 2025, which relate to revised norms for appointment of Principal Officer and Compliance Officer for capital market intermediaries in the International Financial Services Centre (“IFSC”). The earlier extended deadline of December 31, 2025 (as per IFSCA’s September 4, 2025 circular) has now been further extended up to January 15, 2026 or the date of publication of the IFSCA (Capital Market Intermediaries) (Amendment) Regulations, 2026 in the Official Gazette, whichever is earlier, following IFSCA’s approval (at its December 22, 2025 meeting) of certain amendments to the regulations that are in the process of being notified.

1.1.8.     IFSCA issues circular on Computation of liquid net worth under IFSCA (Capital Market Intermediaries) Regulations, 2025

IFSCA, by circular dated December 30, 2025, issued clarifications on computation of “liquid net worth” under the IFSCA (Capital Market Intermediaries) Regulations, 2025. IFSCA clarified that (i) base minimum capital and interest free deposits maintained by registered broker dealers and registered clearing members with recognised stock exchanges and clearing corporations, respectively, will be considered as part of liquid net worth, (ii) margins maintained by registered broker dealers/clearing members for their trading activities in the IFSC or Global Access (as applicable) will also be included, and (iii) while computing net worth, liabilities are not considered per the definition in the regulations and therefore any liability must be excluded for computing liquid net worth.

1.1.9.     IFSCA notifies International Financial Services Centres Authority (Global In-House Centres) Regulations, 2025

IFSCA notified the International Financial Services Centres Authority (Global In-House Centres) Regulations, 2025 on December 24, 2025 (published in the Official Gazette on December 29, 2025), to provide a regulatory framework for Global In-House Centres (“GICs”) set up as units in an IFSC by entities of a “financial institution group” (including banks, non-banking financial companies, insurers, brokers, funds, exchanges and related market infrastructure). The Regulations set eligibility and registration conditions (including that branch applicants and promoters/partners must not be from jurisdictions identified by the Financial Action Task Force (FATF) as “High-Risk Jurisdiction subject to call for action”), require registration through the Single Window IT Systems (SWIT) platform with a 30 (thirty) day deficiency cure process, and provide for in-principle approval followed by 180 (one hundred eighty) days to complete compliance steps (extendable). GIC units may provide services relating to financial products and financial services primarily to non-resident group entities, may provide services to group entities in India up to 10 per cent (ten per cent) of their total revenue for the relevant financial year, and are prohibited from being set up by transferring existing contracts or work arrangements from group entities in India. The framework also imposes “fit and proper” requirements, mandates appointment/designation of a full-time principal officer and compliance officer based in the IFSC, requires operations in specified foreign currency (with a permitted INR account for administrative/statutory expenses), enables IFSCA to seek information, inspect and take action for contraventions, and provides that existing GIC units registered under the 2020 Regulations must comply within 90 (ninety) days while repealing the 2020 Regulations and superseding the November 18, 2020 circular (with savings for prior actions).

1.1.10.  IFSCA tightens compliance framework for IBUs’ internet banking services and customer consent

IFSCA, by circular dated December 29, 2025, reviewed its April 22, 2024, circular on internet banking services to clients of International Banking Units (“IBUs”) and issued specific compliance requirements for information services, interactive information exchange services and transactional services. IBUs that do not offer liability products are exempt from implementing requirements for interactive and transactional services, while IBUs commencing operations after this circular must not offer liability products without complying with the earlier circular’s requirements. IBUs operational before this circular must comply by June 30, 2026, failing which they must stop onboarding new customers for liability products from July 1, 2026. The circular also mandates explicit, recorded customer consent for registering or de-registering for internet banking services, requires disclosures such as specified transaction currencies and cut-off timings, and prescribes minimum dashboard and transactional features, including real-time balances, machine-readable statements, disposal instructions for inward remittances, dual-layer authentication, beneficiary whitelisting and validation tools for errors and regulatory non-compliance.

Miscellaneous

Ministry of Corporate Affairs (MCA)

1.1.11.  MCA to create 3 new Regional Directorates and 6 new RoCs

Ministry of Corporate Affairs (“MCA”) will operationalise 3 (three) new Regional Directorates (“RDs”) and 6 (six) new Registrars of Companies (“RoCs”) with effect from February 16, 2026, aimed at improving regulatory facilitation. The Northern Region RD at Delhi will be split into RD (NR-I) headquartered at New Delhi (National Capital Territory of Delhi and Uttar Pradesh) and RD (NR-II) headquartered at Chandigarh (Haryana, Himachal Pradesh, Punjab, Uttarakhand, and the Union Territories of Chandigarh, Ladakh and Jammu and Kashmir).  RoC, Delhi will be split into RoC (NCT of Delhi-I), RoC (NCT of Delhi-II), and RoC (Haryana) at Chandigarh, and RoC, Noida will be carved out from RoC, Kanpur for 17 (seventeen) westernmost districts of Uttar Pradesh. The Western Region RD at Mumbai will be split into RD (WR-I) at Mumbai (Mumbai, Mumbai Suburban, Goa, and the Union Territory of Daman and Diu) and RD (WR-II) at Navi Mumbai (remaining districts of Maharashtra), with RoC, Mumbai being split into RoC, Mumbai-I and RoC, Mumbai-II and a new RoC, Nagpur created for 18 (eighteen) districts across Vidarbha and Marathwada. MCA will also establish a new RD for South-Western Region at Bangalore (Karnataka, Kerala and the Union Territory of Lakshadweep) and split RoC, Kolkata into RoC, Kolkata-I (Kolkata district and Sikkim) and RoC, Kolkata-II (West Bengal excluding Kolkata).

1.1.12.  MCA notifies Companies (Appointment and Qualification of Directors) Amendment Rules, 2025

MCA notified the Companies (Appointment and Qualification of Directors) Amendment Rules, 2025 under the Companies Act, 2013, which will come into force on March 31, 2026. The amendments revise the Director Identification Number (DIN) KYC framework by substituting Rule 12A to require every individual holding a DIN as on March 31 of a financial year to file KYC intimation in Form No. DIR-3-KYC-Web on or before June 30 of the immediately following every 3 (three) consecutive financial year, and to submit DIR-3-KYC-Web within 30 (thirty) days of any change in personal mobile number, email address, or residential address (along with the prescribed fee). The rules also update Rule 11 references to use “Regional Director, Northern Region Directorate I” in place of “Regional Director (Northern Region), Noida”, and replace the earlier forms DIR-3-KYC and DIR-3-KYC-WEB with the consolidated DIR-3-KYC-Web form.

1.1.13.  MCA issues Companies (Removal of Names of Companies from the Register of Companies) Amendment Rules, 2025

MCA notified the Companies (Removal of Names of Companies from the Register of Companies) Amendment Rules, 2025. The amendment inserts an additional proviso in Rule 4(3) to provide that, for any other Government Company (including its subsidiaries), the indemnity bond in Form STK-3A for 1 (one) or more directors appointed or nominated by the Central Government or State Government must be given on the company’s behalf by an authorised representative not below the rank of Under Secretary (or equivalent) in the relevant administrative Ministry or Department. The rules take effect from the date of publication in the Official Gazette.

1.1.14.  MCA extends FY 2024–25 annual filing window without additional fees

MCA, via General Circular No. 08/2025 dated December 30, 2025, has extended the time for companies to complete annual filings for Financial Year 2024–25, allowing e-forms MGT-7, MGT-7A, AOC-4, AOC-4 CFS, AOC-4 NBFC (Ind AS), AOC-4 CFS NBFC (Ind AS), AOC-4 (XBRL) to be filed up to January 31, 2026 without payment of additional fees, in continuation of General Circular No. 06/2025 dated October 17, 2025 and based on stakeholder representations.

1.1.15.  MCA consults on streamlining SPICe+ Part B resubmissions

MCA, through the Directorate General of Corporate Affairs (DGCoA), issued an Office Memorandum seeking stakeholder suggestions to reduce repetitive data entry and procedural friction during re-submission of the Simplified Proforma for Incorporating Company Electronically Plus (“SPICe+”) Part B web form and its linked e-forms (including e-Memorandum of Association (e-MoA), e-Articles of Association (e-AoA), AGILE-PRO-S and INC-9). The consultation note explains that stakeholders currently have to re-navigate multiple screens and re-save data even when details are prefilled, and that one time password (“OTP”) verification may be repeated for subscribers-cum-directors without a Director Identification Number (DIN), with linked filings often being de-linked and re-generated, requiring fresh filing and digital signature certificate (DSC) uploads. It also sets out 2 (two) operational scenarios: where SPICe+ Part B is re-submitted without changes to linked forms, and where only linked e-forms require changes without changes to SPICe+ Part B. MCA proposes (i) keeping SPICe+ Part B and linked forms available with previously filled information during re-submission so users can edit only what is needed, and (ii) doing away with OTPs in re-submission except where details of a particular director or subscriber are changed, and invited suggestions by January 15, 2026.

Unique Identification Authority of India (UIDAI)

1.1.16.  UIDAI discontinues hologram on Aadhaar PVC cards

Unique Identification Authority of India (“UIDAI”) issued a circular dated October 17, 2025, stating that Aadhaar PVC Cards ordered through the “Order Aadhaar PVC Card” service will no longer carry the Aadhaar hologram. UIDAI noted that Aadhaar PVC Cards were earlier being issued with the hologram, but it has now been decided to discontinue its use and, going forward, Aadhaar PVC Cards will be issued without a hologram, pursuant to approval of the competent authority.

Monetary Penalties

1.1.17.  RBI imposes penalties on 4 banks for regulatory non-compliance

RBI has imposed monetary penalties on the following institutions:

Sr. No.	Name of Bank	Amount of Penalty	Grounds for Penalty
1.	The Salem Urban Co-operative Bank Limited, Tamil Nadu	INR 50,000 (Indian Rupees Fifty Thousand only)	Non-compliance with certain directions issued by RBI on ‘Framework for Compromise Settlements and Technical Write-offs’. This penalty has been imposed in exercise of powers conferred on RBI under the provisions of Section 47A(1)(c) read with Sections 46(4)(i) and 56 of the Banking Regulation Act, 1949.
2.	The District Co-operative Central Bank Ltd., Warangal, Telangana	INR 1,00,000 (Indian Rupees One Lakh only)	Contravention of provisions of Section 20 read with Section 56 of the Banking Regulation Act, 1949. This penalty has been imposed in exercise of powers conferred on RBI under the provisions of Section 47A(1)(c) read with Sections 46(4)(i) and 56 of the Banking Regulation Act, 1949.
3.	Kolhapur District Central Co-operative Bank Ltd., Kolhapur, Maharashtra	INR 2,10,000 (Indian Rupees Two Lakh Ten Thousand only)	Contravention of the provisions of Section 20 read with Section 56 of the Banking Regulation Act, 1949. This penalty has been imposed in exercise of powers conferred on RBI under the provisions of Section 47A(1)(c) read with Sections 46(4)(i) and 56 of the Banking Regulation Act, 1949.
4.	Valuecorp Securities & Finance Limited	INR 2,40,000 (Indian Rupees Two Lakh Forty Thousand only)	Non-compliance with certain directions issued by RBI on ‘Submission of data to Credit Information Companies’, ‘Transfer of Loan Exposure’ and ‘Know Your Customer (KYC)’. This penalty has been imposed in exercise of powers conferred on RBI under Section 25(1)(iii) read with Section 23(4) of the Credit Information Companies (Regulation) Act, 2005 and Section 58G(1)(b) read with Section 58B(5)(aa) of the Reserve Bank of India Act, 1934.

2.           Key Asian Markets - Philippines and Vietnam

2.1.        Philippines

2.1.1.     Philippines’ net external liability narrows to USD 58.2 billion as external assets rise

Bangko Sentral ng Pilipinas (“BSP”) reported that the Philippines’ International Investment Position (“IIP”) posted a lower net external liability of USD 58.2 (United States Dollar Fifty-Eight Billion Two Hundred Million only) billion as of September 30, 2025, reflecting higher external assets and lower foreign obligations. This was a decline of 13.2 per cent (thirteen decimal two per cent) from USD 67.0 (United States Dollar Sixty-Seven Billion only) billion as of June 30, 2025, and corresponded to 12.1 per cent (twelve decimal one per cent) of gross domestic product, down from 14.1 per cent (fourteen decimal one per cent) in the previous quarter. BSP stated that Philippine investment in foreign assets rose by 1.9 per cent (one decimal nine per cent) to USD 263.9 (United States Dollar Two Hundred Sixty-Three Billion Nine Hundred Million only) billion, while foreign investments in Philippine assets eased by 1.2 per cent (one decimal two per cent) to USD 322.1 (United States Dollar Three Hundred Twenty-Two Billion One Hundred Million only) billion, and noted that the IIP is used to assess external vulnerability and resilience by showing what the country owns and owes internationally.

2.1.2.     BSP reports 5 per cent drop in FCDU loans to USD 15.13 billion in quarter three of 2025

BSP reported that foreign currency deposit unit (“FCDU”) loans declined by 5 per cent (five per cent) in Q3 (third quarter) 2025 to USD 15.13 (United States Dollar Fifteen Billion One Hundred Thirty Million only) billion, down by USD 802.09 (United States Dollar Eight Hundred Two Million Ninety Thousand only) million from USD 15.93 (United States Dollar Fifteen Billion Nine Hundred Thirty Million only) billion in the previous quarter. Of the outstanding loans, USD 9.59 (United States Dollar Nine Billion Five Hundred Ninety Million only) billion or 63.4 per cent (sixty-three decimal four per cent) were to Philippine-based borrowers, with major borrowers including merchandise and service exporters (USD 2.51 (United States Dollar Two Billion Five Hundred Ten Million only) billion; 26.2 per cent (twenty-six decimal two per cent)), towing/tanker/trucking/forwarding/personal and other industries (USD 2.05 (United States Dollar Two Billion Fifty Million only) billion; 21.4 per cent (twenty-one decimal four per cent)), and power generation companies (USD 1.71 (United States Dollar One Billion Seven Hundred Ten Million only) billion; 17.8 per cent (seventeen decimal eight per cent).

2.2.         Vietnam

2.2.1.     State Bank of Vietnam sets approval procedures for changes at non-bank credit institutions

State Bank of Vietnam issued a press release dated December 25, 2025, announcing that the Governor signed Circular No. 49/2025/TT-NHNN, which prescribes the dossiers and procedures for obtaining regulatory approval for specified changes by non-bank credit institutions. The circular contains 19 (nineteen) articles and covers, among other matters, changes of name, relocation of head office, change in operating term, increases in charter capital (including for limited liability and joint stock forms), sale or transfer of capital contributions, acquisition or transfer of shares leading to large shareholder status, temporary suspension of transactions for 5 (five) working days or more (other than force majeure), amendment or supplementation of the licence in specified cases, and notifications to the business registration authority, along with implementation responsibilities and transitional provisions. The circular is stated to take effect from February 6, 2026.

3.             Trends

3.1.         PFRDA opens door for banks to set up NPS pension funds

Pension Fund Regulatory and Development Authority (“PFRDA”) gave in-principle approval for banks to sponsor and independently set up pension funds to manage monies under the National Pension System (NPS), subject to eligibility norms aligned with Reserve Bank of India guidelines. PFRDA oversees assets worth more than USD 177 billion (United States Dollar One Hundred and Seventy-Seven Billion only) and that there are currently 10 (ten) registered pension funds, so bank-sponsored entrants could increase the number of fund managers and intensify competition. The report also noted related reforms, including revisions to the Investment Management Fee structure effective April 1, 2026, which could further influence pricing and distribution in the pension ecosystem.

3.2.         Hero Fincorp’s planned IPO highlights lending listings pipeline

At least 5 (five) initial public offerings (IPOs) together worth nearly INR 18,000 crore (Indian Rupees Eighteen Thousand Crore only) are expected to be watched in January 2026, subject to market stability. Financial services segment will see great interest around Hero Fincorp, which is planning to raise about INR 3,668 crore (Indian Rupees Three Thousand Six Hundred and Sixty-Eight Crore only) through its IPO, including a fresh issue of INR 2,100 crore (Indian Rupees Two Thousand One Hundred Crore only), with investor attention likely to focus on asset quality and growth sustainability in an environment where unsecured lending risk is being closely scrutinised.

4.             Sector Overview

4.1.         India’s fiscal deficit reaches 62.3 per cent of full-year target by November

Government of India data showed the fiscal deficit for April–November at INR 9,80,000 crore (Indian Rupees Nine Lakh Eighty Thousand Crore only), which is 62.3 per cent (sixty-two point three per cent) of the full-year estimate for the financial year 2025–26 (two thousand and twenty-five to two thousand and twenty-six). The report added that the full-year fiscal deficit target is 4.4 per cent (four point four per cent) of gross domestic product, or INR 15,70,000 crore (Indian Rupees Fifteen Lakh Seventy Thousand Crore only), which is closely tracked by banks and debt markets as it influences government borrowing, bond yields and system liquidity conditions.

4.2.         India’s forex reserves rise to USD 696,610 million, strengthening external buffers

India’s foreign exchange reserves increased by USD 3,290 million (United States Dollar Three Thousand Two Hundred and Ninety Million only) to USD 696,610 million (United States Dollar Six Hundred and Ninety-Six Thousand Six Hundred and Ten Million only) for the week ended December 26, 2025.

5.             Business Updates

5.1.         Centre divests 2.2 per cent stake in Indian Overseas Bank

The Union Government divested 2.2 per cent (two point two per cent) of its shares in Indian Overseas Bank (“IOB”), taking its holding down to 92.4 per cent (ninety-two point four per cent). The divestment was positioned as part of the broader public shareholding push for listed public sector banks, with IOB’s shareholding levels now being monitored against the minimum public shareholding requirement for listed entities in India.

5.2.         Go Digit General Insurance approves merger with holding company

Go Digit General Insurance Limited’s board approved a scheme to merge its unlisted holding company, Go Digit Infoworks Services, into the listed insurer, with no cash consideration and a fixed exchange ratio for issuing insurer equity to holding company shareholders. The transaction involves issuance of shares worth about INR 43 crore (Indian Rupees Forty-Three Crore only) at INR 375.1 (Indian Rupees Three Hundred Seventy-Five Point One only) per share, and is expected to increase promoter shareholding by about 0.03 per cent (zero point zero three per cent) on a fully diluted basis, subject to approvals from shareholders, creditors, and regulators.

Disclaimer

The note is prepared for knowledge dissemination and does not constitute legal, financial or commercial advice. AK & Partners or its associates are not responsible for any action taken based on its contents.

For further queries or details, you may contact:

Mr Anuroop Omkar

Partner, AK & Partners

info@akandpartners.in