The Bank had received a communication from the Reserve Bank of India (RBI) to bring down its promoter shareholding to 40% by September 30, 2014 per estimates provided by the Bank. The present sale reduces the shareholding of the promoters to 40.33%.
Commenting on the development, Paul Parambi, Head - Group Strategy, KMBL said, “The present sale by the promoters helps us substantially meet the RBI requirement for promoter dilution by September 30, 2014.”
The promoter holding will be reduced to 30% by December 31, 2016, KMBL said in a filing with the BSE earlier.In June 2012, the bank had provided a roadmap to RBI to reduce its stake from then 45.21% to 20% by March 31, 2018. Uday Kotak, the billionaire promoter & managing director of the private sector lender, owns 39.76% of the shares directly and the Kotak Trustee Company where Uday Kotak is the beneficial owner has 3.49% of the shares.
