RBI Greenlights HDFC's 9.5% Stake Acquisition in IndusInd Bank

HDFC Bank has secured permission from the Reserve Bank of India to collectively hold up to 9.50% of IndusInd Bank's shares through its group entities. This regulatory approval remains valid for one year, requiring compliance to avoid exceeding the specified limit. The move aligns with RBI's investment directions.

HDFC Bank has been granted approval by the Reserve Bank of India to allow its group entities to collectively acquire up to a 9.50% stake in IndusInd Bank. This was disclosed in a filing to the stock exchange, indicating a strategic step for HDFC Bank, which serves as promoter and sponsor for multiple group entities.

The entities involved include HDFC Mutual Fund, HDFC Life Insurance Company Limited, HDFC ERGO General Insurance Company Limited, HDFC Pension Fund Management Limited, and HDFC Securities Limited. The RBI's approval, as per a letter dated December 15, 2025, enables these groups to hold an 'aggregate holding' of up to the specified percentage in IndusInd Bank until December 14, 2026.

This measure remains in compliance with the 'Commercial Banks - Acquisition and Holding of Shares or Voting Rights' Directions, 2025, issued by the RBI. It is stipulated that the 'aggregate holding' encompasses shares held directly and indirectly via entities under mutual control. While HDFC Bank does not plan a direct investment, it must ensure the combined stake does not surpass the permissible limit.

(With inputs from agencies.)