Jefferies outlines possible Kotak–IDBI merger paths under review

Jefferies detailed share-swap and cash-funded merger scenarios for Kotak and IDBI, estimating dilution and goodwill but stressing integration and regulatory risks.

Live Market Updates

Latest Financial News

neutral
4 days ago

Jefferies outlines possible Kotak–IDBI merger paths under review

Jefferies outlines possible Kotak–IDBI merger paths under review
Brokerage firm Jefferies modelled potential merger between Kotak Mahindra Bank and IDBI Bank under two options: a share-swap, issuing ~516 million new Kotak shares causing ~21% dilution or a cash-funded deal which could create goodwill of ₹21,900–₹48,200 crore depending on structure. The note highlighted integration, regulatory and deposit-base risks if the merger proceeds.
Companies:
  • Kotak Mahindra Bank
  • IDBI Bank
Tags:
  • kotak
  • idbi