India’s HDFC Bank said on Wednesday that it has completed the sale of its stake in education finance arm HDFC Credila for 95.53 billion rupees ($1.15 billion) to private equity firms BPEA EQT and ChrysCapital.
The deal, announced in June last year, was part of mandated regulatory requirements before the completion of mortgage lender Housing Development Finance Corp’s merger with HDFC Bank. The conclusion of the deal comes ahead of HDFC Bank’s fourth-quarter results next month.
While HDFC Bank posted a better-than-expected profit for the third quarter, analysts pointed out that its margins were weak and there were liquidity pressures at the bank, resulting in a steep drop in its share price.
Reuters