Reserve Bank of India (RBI) approves Blackstone’s 9.99% stake acquisition in Federal Bank.

Key facts

• Reserve Bank of India (RBI) has approved Blackstone’s acquisition of up to 9.99 per cent stake in Federal Bank.
• Competition Commission of India (CCI) had cleared the proposal in December 2025.
• Federal Bank will issue up to 272.97 million warrants convertible into equity shares of face value ₹2 at ₹227 per share.
• Blackstone will invest ₹6,196.51 crore through its affiliate Asia II Topco XIII Pte Ltd.
• Post-transaction, Blackstone can nominate a director if its shareholding remains at or above 5 per cent.
• Upon full conversion, Blackstone will become the single largest shareholder in Federal Bank.
• Federal Bank reported a 9 per cent YoY rise in Q3 FY26 net profit to ₹1,041 crore.
• Gross NPAs declined to 1.72 per cent and net NPAs to 0.42 per cent in Q3 FY26.
• Net interest income rose 9 per cent YoY to ₹2,653 crore; net interest margin improved to 3.18 per cent.