ICICI Bank to Sell 18.8% Stake in NIIT IFBI for Up to ₹6.58 Cr
In a significant development, ICICI Bank has announced its decision to sell its entire 18.8% shareholding in NIIT Institute of Finance, Banking and Insurance (NIIT IFBI), an associate company of the bank. The sale is expected to fetch the bank a consideration ranging from ₹4.7 crore to ₹6.58 crore.
NIIT IFBI is a leading institution in the education and training space, offering courses in finance, banking, and insurance. The company has a strong reputation for providing high-quality education and training programs to students and professionals.
The sale of ICICI Bank’s stake in NIIT IFBI is expected to be made to a listed entity outside of the ICICI Group. The transaction is likely to be completed by the end of the year, subject to regulatory approvals and other customary conditions.
ICICI Bank’s decision to sell its stake in NIIT IFBI is seen as a strategic move to optimize its investment portfolio and focus on its core banking business. The bank has been looking to divest its non-core assets to strengthen its balance sheet and improve its risk profile.
The sale of ICICI Bank’s stake in NIIT IFBI is also expected to benefit the bank’s shareholders, who will benefit from the increased value of the bank’s shares. ICICI Bank’s shares have been under pressure in recent times due to various macroeconomic and regulatory challenges, but the sale of its stake in NIIT IFBI is expected to provide a boost to the bank’s shares.
NIIT IFBI has been a successful partner for ICICI Bank, and the two companies have worked together to provide innovative education and training programs to students and professionals. However, the bank has decided to exit its stake in NIIT IFBI to focus on its core banking business and to optimize its investment portfolio.
The sale of ICICI Bank’s stake in NIIT IFBI is also seen as a positive development for the education and training industry, as it will provide an opportunity for other players to invest in the sector and take advantage of the growing demand for education and training programs.
In conclusion, the sale of ICICI Bank’s 18.8% stake in NIIT IFBI is a strategic move by the bank to optimize its investment portfolio and focus on its core banking business. The transaction is expected to fetch the bank a consideration ranging from ₹4.7 crore to ₹6.58 crore and is likely to be completed by the end of the year.
