TransUnion has raised its stake in its Indian subsidiary Cibil to 77.1% by buying out ICICI Bank and Bank of Baroda’s stake in Cibil. Previously TransUnion held 66.1%. ICICI Bank has sold its 6% stake in the company, while Bank of Baroda has sold its 5% holding, a comparison of the shareholding patterns disclosed earlier with the updated one reveals.
The Reserve Bank of India recently permitted 100% foreign direct investment in the credit information companies subject to certain conditions like diversified ownership at the acquirer entity and directors’ nationality being Indian. Cibil, which began operations in August 2000, was formed as a joint venture between banks and TransUnion and Dun & Bradstreet.
Many lenders, including State Bank of India, HDFC have sold stakes to TransUnion in the past. Managements of both ICICI Bank as well as Bank of Baroda have indicated they will sell stakes in non-core assets in the aftermath of RBI’s asset quality review.
Source: Live Mint