Current Affairs - Banking - Discussion

The Reserve Bank of India permitted ICICI Prudential Asset Management Company Ltd to acquire an aggregate stake of up to 9.95% of the paid-up share capital or voting rights in each of the four banks. The institutions covered by the approval are Kotak Mahindra Bank, CSB Bank, DCB Bank, and AU Small Finance Bank. The acquisition must be completed within one year from the date of the RBI approval letters; otherwise, the approval will lapse. RBI approval is required for acquiring a major shareholding of 5% or more in a banking company under Section 12B of the Banking Regulation Act, 1949.