Kotak Mahindra Bank to demerge from KMCC

New Delhi, Sep 29 (UNI) Kotak Mahindra Bank's board today approved the draft Scheme of Arrangement for demerger of the Trading and Principal, including Primary Dealership, undertaking of Kotak Mahindra Capital Company Ltd (KMCC) to the bank.

''The requisite permission are yet to be taken,'' the bank said.

Also, the bank acquired 51 per cent of the paid up share capital of Kotak Mahindra Securities Ltd (KMSL) making KMSL a direct subsidiary of the bank.

''The share acquisition took place through preferential allotment of shares by KMSL to it'' a statement from the bank said.

Earlier in the day, the Board of Directors of KMCC and Kotak Mahindra Securities Ltd (KMSL), had approved demerger of undertaking comprising of the Trading and Clearing operations and strategic investments of KMSL into KMCC, subject to necessary approvals.

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