By Gopika Gopakumar MUMBAI, Oct 18 (Reuters) – India's financial sector has seen a number of large deals in 2025, including two rare transactions involving foreign banks buying significant stakes in Indian lenders. Between January and September 2025, mergers and acquisitions worth $8 billion have concluded across the financial sector, a 127% increase over the same period last year, according to data by Grant Thornton. Here are key facts about the major deals: EMIRATES NBD – RBL BANK Dubai-based bank Emirates NBD will buy a 60% stake in Indian private lender RBL Bank in a deal valued at $3 billion, the largest overseas acquisition in the Indian financial sector so far. The deal gives the Middle Eastern lender access to a wide branch network, which it intends to merge with its local subsidiary. SMBC – YES BANK In May, Japan’s Sumitomo Mitsui Banking Corporation (SMBC) agreed to acquire a 20% stake in Yes Bank for $1.6 billion. It bought the stake from a clutch of Indian banks that rescued the bankrupt lender in 2020. It bought an additional 4.99% in September. IHC – SAMMAAN CAPITAL Earlier this month, Abu Dhabi’s International Holding Company (IHC) agreed to invest close to $1 billion to buy a 43.5% stake in Sammaan Capital, a non-bank lender focused on housing loans. IHC will launch an open offer to buy an additional 26% stake for retail investors as per Indian takeover regulations. The investment was among the largest in India’s non-bank financial sector. WARBURG PINCUS, ADIA – IDFC FIRST BANK In April, Warburg Pincus and Abu Dhabi Investment Authority (ADIA) agreed to invest $877 million in IDFC FIRST Bank through convertible preference shares. Together the two funds will have a combined ownership of 15% on conversion of the shares. BAIN CAPITAL – MANAPPURAM FINANCE In March, Bain Capital agreed to acquire an 18% stake in Manappuram Finance for $508 million. Bain will raise its stake to over 40% after making an open offer for shares from retail investors. Manappuram is a leading gold-loan NBFC with over 5,300 branches. BAJAJ GROUP – ALLIANZ In March, India's Bajaj Group bought back a 26% stake in its two joint venture firms – Bajaj Allianz General Insurance Ltd and Bajaj Allianz Life Insurance Ltd – from its joint venture partner Allianz for $2.8 billion, ending a decade-long partnership. Allianz thereafter tied up with Reliance-owned Jio Financial Services to set up both general and life insurance businesses. (Reporting by Gopika Gopakumar; Writing by Ira Dugal; Editing by Sam Holmes and Jan Harvey)
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