Kotak Mahindra Bank Ltd (KMBL) will acquire Standard Chartered Bank India's personal loan book, with total outstandings of approximately Rs 4,100 crore, to expand its retail lending business. It said that as of September 30, 2024, the proposed transaction involves total outstanding loans of approximately Rs 4,100 crore (approximately $490 million), including loans classified as 'standard loans' as per Reserve Bank of India (RBI) guidelines.

These are loans that are performing well and are not showing any signs of distress or default. Kotak Bank will acquire the loan book that will be outstanding close to the completion date of the deal. Kotak Bank said that it expects this acquisition to be in line with its strategy to accelerate its growth, increase market share and unlock opportunities in the 'Salaried Affluent' segment.'

Transaction expected to be completed in the next three months Kotak Mahindra Bank Managing Director and CEO Ashok Vaswani had earlier emphasized that the bank is open to merger and acquisition opportunities that add value to the bank. The "transaction is expected to be completed in the next three months. KMBL will acquire the loan book and the outstanding amount will be finalized close to the completion date. In an interview with CNBC-TV18 on October 1, he said, "We have never backed out of M&A; we are not backing out of M&A even today. We keep an eye on every opportunity that comes our way and will evaluate it as and when it comes up.” Kotak Bank believes that India's unsecured credit market offers 'significant growth potential', especially in the higher-end segment. Standard Chartered Bank has assured a smooth transition for customers and will focus on wealth and investment banking business in India going forward.