Warburg Pincus exits IDFC First Bank, sells entire stake for Rs 1,195 cr


Private equity major Warburg Pincus on Thursday sold its entire 2.25 per cent stake in private sector lender IDFC First Bank for Rs 1,195 crore through an open market transaction.


Warburg Pincus offloaded the shares of IDFC First Bank through its affiliate Cloverdell Investment Ltd on the BSE.


According to the bulk deal data available with the BSE, Cloverdell Investment sold more than 15.88 crore shares of IDFC First Bank.


The shares were disposed of at an average price of Rs 75.24 apiece, taking the deal size to Rs 1,195.21 crore.


As of December 2023, Warburg Pincus through its affiliate holds a 2.25 per cent stake in Mumbai-headquarted IDFC First Bank, shareholding data showed with the BSE.


Details of the buyers of shares could not be ascertained.


On Thursday, shares of IDFC First Bank plunged 3.11 per cent to close at Rs 75.39 apiece on the BSE.


In January, IDFC First Bank reported an 18 per cent growth in net profit to Rs 716 crore in the third quarter ended December 31, 2023, on the back of improved interest income.


The bank had earned a net profit of Rs 605 crore in the October-December quarter of 2022.


The total income of the bank increased to Rs 9,396 crore in the quarter as compared to Rs 7,064 crore in the December quarter of the previous fiscal.


In September last year, Warburg Pincus divested a 4.2 per cent stake in private lender IDFC First Bank for Rs 2,480 crore.

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First Published: Mar 28 2024 | 11:56 PM IST