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Prem Watsa-promoted Fairfax India Holdings Corporation (Fairfax India) announced that it has received all required regulatory approvals and has completed the initial closing of its aggregate Rs 1200 crore investment in The Catholic Syrian Bank (CSB).
For buying shares of Catholic Syrian Bank (CSB) or any other companies, please call on 8108303330
In connection with the initial closing, Fairfax India invested Rs 440 crore in equity shares and warrants of CSB. The remaining consideration is payable within 18 months following the initial closing, either upon request by CSB or at the option of Fairfax India. Upon the completion of the aggregate transaction, Fairfax India will own 51% of CSB.
This is the first deal in which a foreign investor is taking up a majority stake in a private bank after the Reserve Bank of India (RBI) tweaked ownership norms in May 2017.
On the initial public offering, the bank is going ahead with its plan to list by 2019. The bank will also have 1,000 branches against 423 now, and will become pan-Indian. Nearly half of its branches are in Kerala. The bank is headquartered in Thrissur, Kerala.
The Catholic Syrian Bank Ltd., established in 1920, is a full-service bank offering Neighborhood Banking, Non-Resident Indian Services, Small-to-Medium-Enterprise and Wholesale banking services through 423 branches and 264 ATMs across India.
Fairfax India is an investment holding company whose objective is to achieve long-term capital appreciation, while preserving capital, by investing in public and private equity securities and debt instruments in India and Indian businesses or other businesses with customers, suppliers or business primarily conducted in, or dependent on, India.