CBI Acquired 25.18% Stake in Future Generali India Life Insurance

In June 2025, Mumbai (Maharashtra) based Central Bank of India (CBI), leading Public Sector Bank, has completed acquisition of 25.18% equity stake in Mumbai based Future Generali India Life Insurance Company Limited (FGILICL)for a cash consideration of Rs.57 crore as part of the insolvency process.

• Also, the bank has acquired 24.91% stake in Mumbai (Maharashtra) based Future Generali India Insurance Company (FGIICL) for Rs 451 crore.
• This strategic acquisition marks CBI’s entry into the life insurance sector.

Key Points:

i.The acquisition has been done through a bid plan submitted by CBI to Competition Commission of India (CCI) under the Insolvency and Bankruptcy Board of India (IBBI) (Insolvency Resolution Process for Corporate Persons) Regulations, 2016.

ii.The acquisition was completed only after the bank received all necessary regulatory approvals from the Reserve Bank of India (RBI), Insurance Regulatory and Development Authority of India (IRDAI), and CCI.

ii.With the completion of this acquisition, CBI will now be classified as a promote in both FGILICL and FGIICL.

Note: FGILICL, incorporated in 2006, is a life insurance company, which provides savings insurance, investment plans like: Unit Linked Insurance Plan (ULIP), term insurance plans, child plans, retirement plans, among others.

LIC Raised Stake in Dr. Reddy’s Laboratories to 8.21%

In June 2025, Mumbai based Life Insurance Corporation of India (LIC), India’s largest institutional investor, has raised its shareholding in Hyderabad (Telangana) based pharmaceutical company, Dr. Reddy’s Laboratories Limited from 6.2% to 8.21%.

• Since October 2024, LIC acquired an additional over 1.67 crore equity shares, accounting 2.012% of Pharma Company’s total paid-up capital, through a series of open market purchases.
• This transaction disclosure was done by LIC in compliance with Regulation 29 (2) of the Securities and Exchange Board of India (SEBI) (Substantial Acquisition of Shares and Takeovers, SAST) Regulations, 2011, often referred to as the SEBI SAST Regulations.

Note: Under SEBI’s SAST Regulations, any acquirer holding over 5% stake or voting rights in a company must disclose any acquisition or sale exceeding 2% of shares or voting rights.

CA Basque Investments Sells 2.62% Stake in YES Bank:

In June 2025, Mumbai based private sector lender, YES Bank Limited announced that CA Basque Investments, Mauritius based private Special Purpose Vehicle (SPV) owned by United States of America (USA) based Carlyle Group, has sold its 2.62% stake in bank for Rs 1,775 crore through open market transactions.

• Following this transaction, CA Basque Investments’ stake in YES Bank declined from 6.84% to 4.22%, which is below the minimum shareholding threshold required to retain board nomination rights under the investment agreement signed with YES Bank on July 29, 2022.
• As per the agreement, CA Basque’s right to nominate a director on the board of bank ceases now as its stake has decreased below the prescribed level.

Yes Bank’s Board Approved Raising Rs 16,000 Crore via Mix of Equity Debt

In June 2025, the board of YES Bank has approved the fundraising plan of up to Rs 16,000 crore for Financial Year 2025-26 (FY26), through a combination of equity and debt to fund business growth.

• As per the plan, YES Bank will raise Rs 7,500 crore through equity issuance and Rs 8,500 crore through eligible debt securities denominated in Indian or foreign currency, in multiple tranches.

Key Points:

i.In a regulatory filing, YES Bank announced that both equity component and debt component would be raised using multiple permissible instruments, with total dilution threshold limit at 10%.

ii.This fundraising initiative aligns with Yes Bank’s strategic partnership with Japan’s Sumitomo Mitsui Banking Corporation (SMBC), which has agreed to acquire a 20% stake in the bank.

iii.As part of this partnership, Yes Bank will amend its Articles of Association to facilitate SMBC’s increased stake and grant SMBC the right to nominate two non-executive, non-independent directors to its board.

About Central Bank of India (CBI):
Managing Director (MD) and Chief Executive Officer (CEO)- Matam Venkata (M.V.) Rao
Headquarters- Mumbai, Maharashtra
Tagline- Central to You Since 1911
Established- 1911

About Yes Bank Limited:
Managing Director (MD) and Chief Executive Officer (CEO) – Prashant Kumar
Headquarters- Mumbai, Maharashtra
Tagline- Experience our expertise
Established- 2004