Kotak Mahindra Bank shares worth ₹5,559 crore change hands as SMBC plans an exit

Shares of Mumbai-based private lender Kotak Mahindra Bank Ltd. will be in focus on Wednesday, September 10, after close to 2.86 crore shares changed hands in a large deal in the pre-open block window.

The shares changed hands at an average price of ₹1,941 per share, taking the total transaction value so far to ₹5,559 crore.

Sources told CNBC-TV18 that Sumitomo Mitsui Banking Corporation is likely to sell its remaining 1.65% stake in the lender through these block deals. SMBC intended to sell 3.2 crore shares that it owned at the end of the June quarter.

The floor price of ₹1,880 per share, is a 4.1% discount to Tuesday's closing price for Kotak Bank. At the floor price, the total transaction value is said to be ₹6,166 crore.

Kotak Mahindra Bank was also part of CNBC-TV18's D-Street Chatter on Tuesday, when it was reported that a large deal may take place in the lender soon.

Last month, Sumitomo Mitsui Banking Corporation (SMBC) received approval from the Reserve Bank of India to acquire up to 25% stake in Yes Bank. The transaction is now subject to approval from the Competition Commission of India and other customary conditions.

In May this year, SMBC announced that it plans to acquire up to 20% stake in Yes Bank through a secondary share sale worth over ₹13,483 crore, making it the largest shareholder of the bank. It will be acquiring that stake from a consortium of lenders led by State Bank of India, who had rescued the bank from a liquidity crisis back in 2020.

Shares of Kotak Mahindra Bank ended 0.5% higher on Tuesday at ₹1,960.4. The stock has gained 10% so far in 2025.