Jio Financial Services to Fully Acquire Jio Payments Bank
Jio Financial Services Limited (JFSL) has taken a significant step in consolidating its financial operations by announcing an acquisition agreement concerning Jio Payments Bank Limited (JPBL). This move aims to strengthen JFSL’s presence in the digital banking sector and streamline its financial services.
Key Highlights of the Acquisition
Acquirer & Target
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Acquirer: Jio Financial Services Limited (JFSL).
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Target: Jio Payments Bank Limited (JPBL).
Current Shareholding Structure
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JFSL currently holds 82.17% of the paid-up equity share capital of JPBL.
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JPBL operates as a joint venture between JFSL and the State Bank of India (SBI).
Acquisition Details
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JFSL’s Board of Directors has approved the acquisition of 79,080,000 equity shares of JPBL from SBI.
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The total purchase value of the transaction stands at ₹104.54 crore.
Post-Acquisition Impact
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Upon completion of the transaction, JPBL will become a wholly-owned subsidiary of JFSL.
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This move is expected to provide JFSL with greater control over JPBL’s strategic operations and digital banking services.
Regulatory Approvals & Timeline
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The acquisition is subject to approval from the Reserve Bank of India (RBI).
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The transaction is expected to be completed within 45 days after receiving RBI’s approval.