Bank of Baroda, Kotak Mahindra Bank Exit Equifax Credit Information Services
Students use keyboards during a computer and information technology class at a learning centre in New Delhi, India. (Photographer: Anindito Mukherjee/Bloomberg)

Bank of Baroda, Kotak Mahindra Bank Exit Equifax Credit Information Services

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State-owned Bank of Baroda and private lender Kotak Mahindra Bank Ltd. have sold their entire stake in credit information bureau Equifax Credit Information Services.

While Bank of Baroda sold 1.35 crore shares at Rs 67.43 apiece to garner about Rs 91.03 crore, Kotak Mahindra Bank offloaded 5.56 percent stake—75 lakh equity shares at Rs 67.43 apiece—for a total consideration of Rs 50.5 crore.

"BoB today (on Wednesday) executed a share purchase agreement, for sale of its entire equity stake of 10 percent in Equifax Credit Information Services Private Ltd," the public sector lender said in a regulatory filing.

The stake sale in Equifax is part of Bank of Baroda’s fundraising exercise where it’s exiting non-core business. The bank has raised Rs 2,000 crore through Basel-III-compliant bonds to fund business growth.

In December 2019, it exited Trinidad and Tobago by selling its business in that country to ANSA Merchant Bank. The bank has allotted 20,000 bonds to 18 investors, the bank said in a separate filing.

On Wednesday, Bank of Baroda shares rose 0.26 percent at Rs 98.05 apiece on the NSE while those of Kotak Mahindra Bank gained 0.29 percent to Rs 1,681.60. The benchmark Nifty 50 shed 0.15 percent to end the day at 12,343.30 points.

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