Bain Capital exits Axis Bank in block deal

9 Apr 2024 , 10:52 AM

On April 9, a block trade on the markets involved about 3.02 Crore shares of Axis Bank. Following the block deal, Axis Bank’s shares increased by slightly over 1%, and as of 10.07 am, they were trading at ₹1,080.90 on the NSE.

Moneycontrol reported on April 8 that Bain Capital intended to leave the private sector lender, despite the fact that the identities of the persons directly involved in the transaction could not be immediately determined.

Bain Capital was hoping to sell its remaining 3.34 Crore shares of the private lender for $431 million. “The block deal has been launched by a few entities associated with Bain Capital and this is intended to be a clean-up trade, marking a full exit of Bain Capital,” a source told Moneycontrol.

As part of a capital increase of ₹11,626 Crore through warrants and equity issues, Bain Capital invested ₹6,854 Crore in Axis Bank in November 2017. It turned out that the investment was one of the largest inflows of private equity in the Indian banking industry. Since then, block agreements have allowed Bain Capital to gradually reduce its ownership of the lender.

Moneycontrol first revealed in December of last year that Bain Capital was seeking to sell a 1.1% share in Axis Bank in exchange for a $444 million block deal.

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