Kotak Mahindra to buy Goldman Sachs' stake in JVs

Mumbai, Mar 16 (UNI) Following Kotak Mahindra Bank Limited's decision to buy the 25 per cent stake in its two subsidiaries held by Goldman Sachs (Mauritius) LLC, the Kotak Mahindra group will now wholly own both the subsidiaries--Kotak Mahindra Capital Company Ltd (KMCC) and Kotak Securities Ltd (KS).

Informing the BSE of its agreement signed with Goldman Sachs to purchase the 25 per cent stake in the two companies, Kotak Bank said that the strategic alliance with Goldman Sachs will now stand terminated.

The aggregate purchase consideration for the 25 per cent stake in the subsidiaries is Rs 333 crore.

While the consideration for the 25 per cent stake in Kotak Securities is Rs 123 crore, the consideration for KMCC is Rs 210 crore, said the company in a statement.

The transaction will be completed after the receipt of necessary regulatory approvals.

Describing the transaction as a change of an era, Uday Kotak, Executive Vice Chairman and Managing Director, Kotak Bank, said: ''The time has come for us to raise our aspirations and scale as the India story becomes center-stage in the global order. We have always aspired to create an Indian financial institution with global class and capabilities and this is a reinforcement of that vision.'' UNI JJ SSS SKB1937