Mumbai, April 18 -- Private equity major Warburg Pincus and sovereign fund Abu Dhabi Investment Auth-ority (ADIA) have agreed to invest Rs.7,500 crore in IDFC First Bank for close to 15% stake, delivering a capital boost for the private lender to accelerate its credit card and wealth management businesses.
The bank will issue compulsorily convertible preference shares (CCPS) worth Rs.4,876 crore to a Warburg Pincus affiliate, and shares worth Rs.2,624 crore at Rs.60 each to an ADIA subsidiary. The Warburg affiliate will hold 9.48% stake, and the ADIA unit 5.1%.
IDFC First Bank was formed in December 2018 with the merger of non-bank lender Capital First with IDFC Bank, then an IDFC Ltd subsidiary. The latest investment marks a return of Wa...