Lender has ₹8,600 cr. target this fiscal
State-owned Punjab National Bank (PNB) said on Friday it would partially sell its stake in PNB Housing Finance to global private equity firm General Atlantic Group and alternative investment firm Varde Partners for ₹1,851.6 crore.
PNB has entered into agreements in relation to two independent transactions on March 29, 2019, for sale of 1,08,91,733 equity shares held in PNB Housing Finance (PNBHF) to General Atlantic Group at ₹850 per share for ₹925.80 crore, and the same number of shares to VardePartners for ₹925.80 crore, PNB said in a regulatory filing.
The bank has a target to fetch up to ₹8,600 crore this fiscal, which is ending on March 31, 2019, by selling stake in non-core assets.
PNB said these transactions are subject to satisfaction of customary conditions and post these transactions, it would continue to hold strategic stake of 19.78% of the paid-up capital of the housing finance subsidiary.
“PNB would continue to hold strategic stake of 19.78% of the paid-up capital of PNBHFL [as on December 31, 2018] and shall continue as a promoter and strategic shareholder of PNBHFL,” PNB Housing Finance said in a separate regulatory filing.