Cut stake to 10% : RBI to Kotak Bank promoters

The Reserve Bank of India has asked the promoters of Kotak Mahindra Bank to cut their stake in the bank to 10 per cent from 45 per cent by 2016. While becoming a bank in 2003 Promoter holding in Bank was at 63% which has been reduced to 45.40% as on December-end 2011.

Following RBI’s directive Kotak Mahindra’s spoke person said “We would like to confirm that the long-term objective of the bank is to broad base the shareholding in a non-disruptive manner, keeping in mind the interests of all stakeholders. The bank continues to be committed to following the statutory directions of the RBI.