Indiabulls Housing Finance sells partial stake in Oaknorth Bank
The company, through its filing on BSE, has informed that it has sold one-third i.e. around 10% of its stake in OakNorth Bank Ltd to GIC, the investment arm of Government of Singapore for Rs 770 crores.
The company had invested Rs 663 crores in November 2015 for a 40% stake in the bank. With this partial divestment, the company has recovered its entire investment cost OakNorth Bank made 2 years ago. The current market value of balance investment of the company in the bank is worth Rs 1,510 crores.
Indiabulls Housing Finance continues to be the single largest shareholder in the bank with two nominees on the board, post this partial stake sale.
Prior to this transaction, OakNorth Bank had secured an investment of USD 203 million from three leading international investors – The Clermont Group, Toscafund and Coltrane for a 16% stake.
OakNorth Bank, founded in 2015 to address the mid-market funding gap in the UK, became profitable after 11 months, and within two years of operations has grown its loan book to over GBP 800 million.
The stock of Indiabulls Housing Finance Ltd closed at a price of Rs 1193, down by 0.28% or Rs 3.40 on November 14, 2017.
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Via:: Stock – India Infoline