RBI approves SBI Mutual Fund to acquire up to 9.99% of paid-up share capital of Bandhan Bank

The Reserve Bank of India has accorded its approval to SBI Mutual Fund (‘applicant’) to acquire aggregate holding of up to 9.99% of the paid-up share capital or voting rights in Bandhan Bank Limited. The approval has been accorded pursuant to the information furnished by the applicant to the RBI.

Mumbai: The Reserve Bank of India has accorded its approval to SBI Mutual Fund (‘applicant’) to acquire aggregate holding of up to 9.99% of the paid-up share capital or voting rights in Bandhan Bank Limited. The approval has been accorded pursuant to the information furnished by the applicant to the RBI.

As per the filing, this approval is subject to compliance with the relevant provisions of the Banking Regulation Act, 1949, Reserve Bank of India (Commercial Banks - Acquisition and Holding of Shares or Voting Rights) Directions, 2025 dated November 28, 2025 (as amended from time to time), provisions of the Foreign Exchange Management Act, 1999, regulations issued by Securities and Exchange Board of India, and any other statutes, regulations, and guidelines, as applicable.

According to the exchange filing, the RBI has also conveyed that if the applicant fails to acquire major shareholding within a period of one year from the date of its letter, this approval shall stand cancelled.

The applicant has also been advised to ensure that their "aggregate holding" in the Bank does not exceed 9.99% of the paid-up share capital or voting rights of the Bank, at all times. If the "aggregate holding" of the applicant falls below 5% at any point of time, prior approval of the RBI will be required to increase it to 5% or more of the paid-up share capital or voting rights of the Bank.

Recently, the RBL Bank has announced that the RBI has granted approval to SBI Mutual Fund to acquire an aggregate holding of up to 9.99% of the paid-up share capital or voting rights in the Bank.