+
Emirates NBD To Acquire Majority Stake In RBL Bank
ECONOMY & POLICY

Emirates NBD To Acquire Majority Stake In RBL Bank

Emirates NBD Bank PJSC is set to acquire majority control of RBL Bank through a capital infusion of about Rs 150 billion (USD 1.7 billion), which will recapitalise the Indian lender and give the UAE-based bank a controlling stake, The Economic Times reported.

According to the report, the deal - now in its final stages - will involve a preferential allotment of equity shares and warrants, followed by an open offer to acquire an additional 26 per cent stake. Once completed, Emirates NBD is expected to hold around 51 per cent of RBL Bank’s expanded equity base. The Reserve Bank of India (RBI) has already granted in-principle approval for the change in control.

The entire capital infusion will be made via primary issuance, significantly strengthening RBL Bank’s balance sheet following a 46 per cent year-on-year decline in net profit for Q1 FY26. The bank’s profit fell to Rs 2 billion in the June 2025 quarter from Rs 3.7 billion a year earlier. Net Interest Income dropped 13 per cent to Rs 14.8 billion, while the Net Interest Margin contracted to 4.5 per cent. Gross NPAs rose to 2.78 per cent from 2.6 per cent, and net NPAs climbed to 0.45 per cent from 0.29 per cent.

RBL Bank attributed the decline to pressure in its credit card portfolio and said it was recalibrating unsecured lending to stabilise asset quality, while liability growth remained steady.

For Emirates NBD, the acquisition represents a major strategic expansion in Asia and an opportunity to tap into the India–Middle East remittance corridor. RBI data shows that Indians in GCC nations account for nearly half of India’s global migrant population, with the UAE alone contributing around half of the USD 38.7 billion in remittances India received from the Gulf in FY24 - making it the second-largest remittance source for the country.

Headquartered in Kolhapur, RBL Bank is fully publicly owned with no single controlling shareholder. Its board is scheduled to meet on 18 October to review Q2 results, with a formal announcement of the Emirates NBD deal expected on or before that date, the report added.

Emirates NBD Bank PJSC is set to acquire majority control of RBL Bank through a capital infusion of about Rs 150 billion (USD 1.7 billion), which will recapitalise the Indian lender and give the UAE-based bank a controlling stake, The Economic Times reported. According to the report, the deal - now in its final stages - will involve a preferential allotment of equity shares and warrants, followed by an open offer to acquire an additional 26 per cent stake. Once completed, Emirates NBD is expected to hold around 51 per cent of RBL Bank’s expanded equity base. The Reserve Bank of India (RBI) has already granted in-principle approval for the change in control. The entire capital infusion will be made via primary issuance, significantly strengthening RBL Bank’s balance sheet following a 46 per cent year-on-year decline in net profit for Q1 FY26. The bank’s profit fell to Rs 2 billion in the June 2025 quarter from Rs 3.7 billion a year earlier. Net Interest Income dropped 13 per cent to Rs 14.8 billion, while the Net Interest Margin contracted to 4.5 per cent. Gross NPAs rose to 2.78 per cent from 2.6 per cent, and net NPAs climbed to 0.45 per cent from 0.29 per cent. RBL Bank attributed the decline to pressure in its credit card portfolio and said it was recalibrating unsecured lending to stabilise asset quality, while liability growth remained steady. For Emirates NBD, the acquisition represents a major strategic expansion in Asia and an opportunity to tap into the India–Middle East remittance corridor. RBI data shows that Indians in GCC nations account for nearly half of India’s global migrant population, with the UAE alone contributing around half of the USD 38.7 billion in remittances India received from the Gulf in FY24 - making it the second-largest remittance source for the country. Headquartered in Kolhapur, RBL Bank is fully publicly owned with no single controlling shareholder. Its board is scheduled to meet on 18 October to review Q2 results, with a formal announcement of the Emirates NBD deal expected on or before that date, the report added.

Related Stories

Gold Stories

Next Story
Real Estate

Peninsula Land launches 19 luxury villas in Pune

Pune’s residential landscape is witnessing a shift as premium homebuyers increasingly seek larger spaces, privacy and independent living options beyond high-rise apartments. Addressing this demand, Peninsula Land Limited, part of the Ashok Piramal Group, has launched AshokVillas, an exclusive collection of 19 premium furnished villas in Gahunje, Pune.The development combines the independence of a standalone home with the convenience and security of a managed residential community. Designed around low-density horizontal living, AshokVillas offers residents private spaces while providing acces..

Next Story
Infrastructure Urban

MyBranch Expands South India Network with 16 Workspace Centres

MyBranch has expanded its South India presence with a 50,000 sq ft flexible workspace network comprising 16 centres across 14 cities in Andhra Pradesh, Karnataka, Tamil Nadu and Telangana.The expansion reflects growing demand for flexible office infrastructure as businesses establish regional teams, satellite offices and operations beyond traditional metropolitan markets. MyBranch’s network spans Bengaluru, Coimbatore, Guntur, Hanamkonda, Hubballi, Hyderabad, Madurai, Mangaluru, Rajahmundry, Salem, Tirupati, Vellore, Vijayawada and Visakhapatnam, with a large office space in Chennai also und..

Next Story
Building Material

Walplast Launches Moisture-Resistant Gypsum Plaster Solutions

Walplast Products Pvt. Ltd. has expanded its HomeSure GypEx portfolio with the launch of GypEx MoistShield and GypEx Gold, two gypsum plaster solutions designed to address moisture-prone applications and improve plastering efficiency.The new products have been developed in response to the growing demand for faster construction processes, improved material performance and consistent surface quality. The solutions aim to simplify interior plastering while addressing specific application requirements across construction environments.“Through HomeSure GypEx MoistShield and GypEx Gold, we are exp..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code