India's desiness is now getting recognition in everything from car business to banking sector. The situation is such that the local brands are overpowering the companies that have come to do business in India and some have considered it better to sell their business to local companies and brands and return back. Now India's private sector Kotak Mahindra Bank is going to buy a big business of foreign Standard Chartered Bank.
Kotak Mahindra Bank says it will acquire the personal loan business portfolio of Standard Chartered Bank. The personal loan portfolio of Standard Chartered Bank is around Rs 4,100 crore. No information has been shared regarding the amount of this deal between the two banks.
Kotak Bank has said in a statement that under this deal it will buy 'standard loans' of foreign banks. The Reserve Bank of India has classified all these loans in the personal loan category. This deal between Kotak Mahindra Bank and Standard Chartered Bank is expected to be completed in the next three months.
Earlier, Standard Chartered Bank's rival Citi Bank had sold its entire retail banking business in India to Kotak Mahindra Bank's competitor Desi Bank Axis Bank. After almost 2 years of this deal, now the deal between Kotak Mahindra Bank and Standard Chartered Bank is going to happen.
Kotak Mahindra Bank is going to announce its July-September quarter results tomorrow. Just a day before this, it has announced a deal to buy the personal loan business of Standard Chartered Bank.
Even before this, in other sectors of the country, local brands have been seen overshadowing foreign brands. The most popular story in this is that of Tata Motors and Ford. When Ford decided to close its business from India, it sold its Gujarat factory to Tata Motors. Recently, Skoda Auto has made a deal with Mahindra & Mahindra, while MG Motors has made a deal with JSW Group.
