Blackstone has revealed plans to invest Rs61.9bn ($705m) in India’s Federal Bank, for acquiring a 9.99% equity stake, through its affiliate. According to the lender’s filing, the investment will be channelled via a Blackstone affiliate, Asia II Topco XIII Pte, based in Singapore. The investment will be carried out via preferential equity shares and warrants, subject to the approval of Indian regulatory bodies, including the Reserve Bank of India and the Competition Commission of India. Federal Bank is s ...

The move positions Blackstone to acquire a near 10% stake in the bank, subject to shareholder approval, marking another high-profile private equity inflow into mid-sized Indian lenders this year.Federal Bank’s board sanctioned 27.29 crore warrants, each convertible into one fully paid-up equity share at Rs 227 apiece, roughly in line with Thursday’s closing price.Blackstone is required to pay 25% of the warrant price at subscription, with the remaining 75% payable upon exercising the warrants. Upon convers ...