Quant Money Managers has received RBI approval to increase ‘aggregate holding’ of up to 9.98% of the paid-up share capital or voting rights in RBL Bank through various schemes of Quant Mutual Fund.
At present, Quant Mutual Fund through its various schemes held 4.68% of the equity share capital of the Bank as of May 10, 2024.
RBL Bank in its letter dated May 13 mentioned that the approval granted by RBI is subject to different conditions mentioned therein in the letter which includes
- Compliance with the relevant provisions of the Banking Regulation Act, 1949,
- RBI’s Master Direction and Guidelines on Acquisition and Holding of Shares or Voting Rights in Banking Companies dated January 16, 2023 (as amended from time to time),
- provisions of the Foreign Exchange Management Act, 1999,
- regulations issued by Securities and Exchange Board of India, and
- any other statutes, regulations and guidelines, as applicable.
According to the RBI letter, Quant Mutual Fund has got approval to acquire through various schemes within a period of one year i.e. by May 12, 2025 and to ensure that the aggregate holding in the bank does not exceed 9.98% of the paid-up share capital or voting rights of the bank at all times.
It further mentioned that, if the aggregate holding falls below 5%, prior approval of RBI will be required to increase it to 5% or more of the paid-up share capital or voting rights of the bank.
The bank mentioned that the approval has been granted with reference to the application made by quant Money Managers Ltd. to RBI.
Following the announcement, the shares of the private sector lender were trading flat at Rs 246.80.
Quant Mutual Fund manages assets worth Rs 77,358 crore as on April 2024 and has around 27 mutual fund schemes.
