RBL Bank Gains as RBI Clears Emirates NBD 74% Stake Buy

One of the largest banking groups in the Middle East in terms of assets has secured approval to acquire a substantial stake in the Mumbai-based RBL Bank.

Majority Stake

In a filing submitted to BSE Limited and National Stock Exchange of India Limited on April 2, RBL Bank disclosed that the Reserve Bank of India (RBI) has greenlighted the Dubai government-owned Emirates NBD Bank PJSC to acquire up to 74% of its paid-up share capital.

[W]e are pleased to inform that Emirates NBD Bank (P.J.S.C) (“Investor”) has received the approval of the Reserve Bank of India (“RBI”) by way of its letter dated April 1, 2026, to acquire an aggregate of up to 74% of the paid-up share capital of the Bank (“RBI Approval”),”  RBL Bank Limited company secretary Niti Arya said on behalf of the private sector bank.

Terms

The RBI approval provides that ENBD shall acquire and maintain a shareholding of at least 51% of the paid-up share capital of RBL Bank, which shall be treated as a foreign bank subsidiary with ENBD as the parent foreign bank.

If the acquisition pushes through, RBL will be subject to the laws applicable to foreign banks operating in wholly owned subsidiary mode as provided in the RBI’s Commercial Banks – Governance Directions, 2025. 

The RBI relaxed the requirement that half of the directors attending board meetings must be independent directors. RBL Bank also needs to amend its articles of association and obtain the approval of the central bank.

₹26,853 crore Investment

In October, RBL disclosed in a regulatory filing of ENBD’s interest in buying a 60% stake for ₹26,853 crore or around $3.05 billion. The amount represents the largest cross-border acquisition in India’s financial sector.

Modest Gain in Stock Price

Following the development, the shares of RBL Bank edged higher closing at ₹301.70 on Thursday before the Indian stock market paused for Good Friday. The price gained just 0.017% from the previous close of ₹301.65.