The proposed structure spans banking, insurance, investment banking and wealth management, while CSB Bank says it is not in merger talks with IDBI Bank
Our Bureau Published 16.10.26, 07:40 AM
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Fairfax plans to bring its existing Indian financial investments under IDBI Bank, creating a diversified financial services group, the Canadian investment group said in a statement.
The government on Tuesday approved the sale of a 60.7 per cent stake in IDBI Bank to Fairfax Financial Holdings (FFHL) in a deal valued at ₹52,870 crore, making it one of the country’s largest cross-border banking transactions.
Fairfax plans to transfer its 30.2 per cent stake in IIFL Capital Services and 49 per cent stake in Digit to IDBI Bank, making the lender the holding company for the three businesses. The proposed structure would span banking, insurance, investment banking and wealth management. Separately, CSB Bank, in which Fairfax also holds a stake, said on Thursday it was not involved in any negotiations or discussions on a merger with IDBI Bank.
Digit, founded by Kamesh Goyal, comprises Go Digit General Insurance and Go Digit Life. IIFL Capital Services, founded by Nirmal Jain and R Venkataraman, runs investment banking and wealth management businesses.
Fairfax is in the process of raising its stake in IIFL Capital to 51 per cent through an open offer.
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