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Last Updated : May 27, 2020 10:03 AM IST | Source: Moneycontrol.com

Carlyle Group may invest $1 billion in Axis Bank: Report

The transaction will be similar to the $1.8 billion investment by Bain Capital in November 2017.

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Global private equity (PE) firm Carlyle Group may make an investment of around $1 billion in Axis Bank and has begun discussions on the capital infusion, a report in The Economic Times has said.

"The conversation has been ongoing for almost a month. The Axis stock has been volatile. The brass seems to be warming up to the idea of another deep-pocket marquee investor in recent weeks," the newspaper quoted a source as saying.

Moneycontrol could not independently verify the report.


Axis Bank and Carlyle declined to comment when approached by The Economic Times.

Also read: 'Banking stocks to remain under pressure; ICICI, HDFC Bank & Axis top buys'

The capital raising might be done via a primary issuance of shares through a preferential allotment, following which Carlyle will own 5-8 percent of Axis Bank, the report said.

The transaction will be similar to the $1.8-billion investment by Bain Capital in November 2017.

The discussions are in the early stages and no formal sale process has begun, executives told the newspaper.

Other lenders such as IndusInd Bank, RBL, IDFC First and Yes Bank have also sought capital injection from investors in the past few months to improve the liquidity.

Kotak Mahindra Bank on May 26 initiated a qualified institutional placement (QIP) to raise Rs 7,460.38 crore.
First Published on May 27, 2020 10:03 am