RBI greenlights SMBC plan to purchase as much as 25% in Sure Financial institution

Mumbai: The Reserve Financial institution of India (RBI) has authorised the applying of Japanese large Sumitomo Mitsui Banking Company (SMBC) to amass as much as 24.99% in Sure Financial institution.

The RBI has additional clarified that SMBC wouldn’t be categorised as a promoter of the financial institution.

The banking regulator had conveyed its approval to SMBC on Friday. On Could 9, 2025, Sure Financial institution disclosed to exchanges that current traders need a strategic secondary stake sale.

ET was first to report Could 6 that SMBC was in superior discussions to amass a stake in Sure Financial institution and that it had obtained verbal assurances from the central financial institution on being allowed to amass a majority stake.

Sure Financial institution disclosed that SMBC is about to amass a 20% stake within the personal lender – 13.19% from the State Financial institution of India, and 6.81% collectively from seven different shareholders, together with Axis Financial institution, Bandhan Financial institution, Federal Financial institution, HDFC Financial institution, ICICI Financial institution, IDFC First Financial institution, and Kotak Mahindra Financial institution.

SMBC will appoint two nominees on the board.

The 20% stake sale is valued at round ₹13,500 crore because the banks are promoting their stake at ₹21.5 a share.

It doesn’t embrace the 2 personal fairness traders – Introduction Worldwide and Carlyle.

The financial institution said that SMBC has obtained approval to extend its holding to 24.99%, which is legitimate for one yr, and is topic to compliance with numerous regulatory frameworks, together with the Banking Regulation Act, 1949, International Trade Administration Act, 1999, and RBI’s grasp instructions on shareholding in banking corporations.

Additional, the transaction is topic to clearance from the Competitors Fee of India (CCI) and fulfilment of different customary situations precedent outlined within the authentic agreements.

The Sure Financial institution board was outdated in March 2020, and a consortium of lenders bailed it out in a regulatory mandate.