RBI Approves SBI Mutual Fund to Acquire Up to 9.99% Stake in Karur Vysya Bank

RBI Approves SBI MF to Acquire 9.99% Stake in Karur Vysya Bank.

Expert Analysis:

• RBI Approval: RBI approved SBI Mutual Fund to acquire up to 9.99% of Karur Vysya Bank's paid-up share capital or voting rights.

• Ownership Structure: SBI holds a 63% majority stake in SBI Funds Management Pvt Ltd (SBIFMPL), while AMUNDI Asset Management owns the remaining 37%.

• Approval Conditions: SBI Mutual Fund must secure the majority shareholding within one year, keep ownership below 9.99%, and seek new RBI approval if it drops below 5%. Failure to comply may lead to revocation.