US-based private equity firm Warburg Pincus’ affiliate, Cloverdell Investment, is likely to sell its entire stake in private sector IDFC FIRST Bank Ltd, sources privy to the development told.
The investment firm is expected to offload its 2.25% equity in the bank through block deals, sources told CNBC-TV18.
The offer size for the stake sale is estimated to be around ₹1,191.4 crore, with a floor price set at ₹75 per share, sources close to the development said.
IDFC FIRST reported an 18.4% year-on-year (YoY) jump in net profit at ₹715.7 crore for the third quarter that ended December 31, 2023. In the corresponding quarter last year, IDFC First Bank posted a net profit of ₹604.6 crore.
Net interest income (NII), which is the difference between the interest income a bank earns from its lending activities and the interest it pays to depositors, jumped 30.5%, coming at ₹4,286.6 crore against ₹3,284.3 crore in the corresponding quarter of FY23.
The gross non-performing asset (GNPA) stood at 2.04% in the December quarter against 2.11% in the September quarter. Net NPA came at 0.68% against 0.68% quarter-on-quarter. The net interest Margin was 6.42% in Q3 of FY24 as compared to 6.13% in Q3 of FY23 and 6.32% in Q2 of FY24.
Shares of IDFC First Bank Ltd ended at ₹77.81, up by ₹0.100, or 0.13% on the BSE.
