Dalmia International has bought a minority stake for an undisclosed amount in a UK-based bank founded by former Apollo Global Management executive Mintoo Bhandari. The stake values the recently christened Monument Corporation, which is yet to formally start its business, at £50 million, according to people aware of the matter The investment, made through the Dubai-based holding company of the Dalmia group, was less than £10 million (about Rs 94 crore), one person said on condition of anonymity.
Dalmia International director Gaurav Dalmia told ET, “There is a gap to be filled in the UK banking sector because of consolidation that has resulted in only six major banks servicing the market. The investment is a bet on the space and the superior quality of the management team.”
Bhandari, who was till last year the head of US buyout firm Apollo Global Management’s Indian operations, raised funds in early January for the first round of funding for Monument Corporation.
The bank is betting on digitally savvy potential customers such as doctors, lawyers, accountants and self employed entrepreneurs in the UK and plans to build a loan book of £1.5 billion in the next five years.
Bhandari was unavailable for comment.
The Dalmia group’s local investment arm has made more than two dozen private equity investments in India and is a sponsor of major funds such as True North and GTI Capital.
It has also made over 45 investments in real estate through the Landmark fund.
Source: Economic Times