CSBBANK

The author is a Reuters Breakingviews columnist. The opinions expressed are her own.

By Shritama Bose

MUMBAI, March 9 (Reuters Breakingviews) - A dealmaking boom in India's banking sector has an unlikely loser: the government. Canadian insurance holding firm Fairfax Financial FFH.TO leads the race to buy a 61% stake from Indian state entities in $13 billion IDBI Bank IDBI.NS, Bloomberg reported in February, citing sources. An $8 billion transaction would be the largest-ever foreign direct investment in a local bank. But crystallising a premium valuation looks challenging.

A deal would complete a full circle for the lender hardest hit by an asset quality crisis: in 2018, bad loans comprised nearly one-third of its portfolio. Provisions for that sour pool eroded its capital base and prompted New Delhi, which then owned 86% of IDBI, to press state-backed Life Insurance Corporation LIFI.NS to pump in 216 billion rupees, or $2.4 billion at current rates, to raise its 8% stake to 51% in 2019.

LIC now holds 49% of IDBI's shares and the government owns 45%. Selling a 30% stake to Fairfax at the latest market price would fetch the insurer a 136% return on its 2019 investment. New Delhi would be worse off, though: the lender's shares trade lower than they did 13 years ago.

Yet even current multiples may be difficult to fetch. IDBI's shares are trading at about 2 times forward book value, almost twice that of similar-sized rivals Yes Bank YESB.NS and IDFC First Bank IDFB.NS. Throwing in employee liabilities, restructuring costs and the likely absence of indemnity clauses gives the buyer a strong case for a discount.

An abundance of takeover targets has hurt New Delhi, too. Launched in 2022, the slow-moving sale process of IDBI prompted early potential bidders to look elsewhere: last year Sumitomo Mitsui Banking Corporation 8316.T bought a 24% stake in Yes Bank.

With Emirates NBD ENBD.DU still in the reckoning with Fairfax, it's a two-horse race to own IDBI. Both bidders already have a foothold in India's credit market: the Dubai-headquartered lender is set to take control of the $2 billion RBL Bank RATB.NS and Fairfax owns $675 million CSB Bank CSBB.NS.

That chips away at any shred of bargaining power left with the sellers, who can hardly demand a control premium. Regulations cap voting rights of private bank shareholders at 26%. That puts the new owner effectively at par on voting decisions with LIC and the government, which will hold a combined 34% after the sale. To maximise takings, officials could ask the central bank to relax the voting rule. The other option is to reduce their total stake to well below 26%.

Otherwise, New Delhi risks catching the weak end of India's banking M&A wave.

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CONTEXT NEWS

Fairfax Financial Holdings is the frontrunner to buy a majority stake in IDBI Bank, Bloomberg reported on February 27, citing unnamed people familiar with the matter.

Valuing the 61% stake that the government and the Life Insurance Corporation of India hold in IDBI at the current market price of about $8 billion could make it the biggest foreign direct investment in the country's banking sector, the report added.

(Editing by Antony Currie; Production by Ujjaini Dutta)

((For previous columns by the author, Reuters customers can click on BOSE/shritama.bose@thomsonreuters.com))

Jan 28 (Reuters) - CSB Bank Ltd CSBB.NS:

• DEC-QUARTER STANDALONE NET PROFIT 1.53 BILLION RUPEES

• Q3 GROSS NPA 1.96%

• Q3 INTEREST EARNED 11.54 BILLION RUPEES

• Q3 PROVISIONS & CONTINGENCIES 867.7 MILLION RUPEES

Further company coverage: CSBB.NS

((Reuters.Briefs@thomsonreuters.com;))

** Shares of CSB Bank Ltd CSBB.NS rise as much as 7.6% to a record high of 519.9 rupees
** Bank reports Dec-qtr total deposits up 21% y/y, gross advances up 29% y/y
** More than 1.6 mln shares traded as of 9:44 A.M. IST, 4.4x their 30-day moving avg
** CSBB last up 5.8%; gained 46.6% in 2025

(Reporting by Meenakshi Maidas in Bengaluru)

((meenakshi.maidas@thomsonreuters.com;))

Jan 2 (Reuters) - CSB Bank Ltd CSBB.NS:

• TOTAL DEPOSITS AT 404.60 BILLION RUPEES AS OF DEC 31, 2025, UP 21% YOY

• GROSS ADVANCES AS OF DEC 31, 2025 AT 372.08 BILLION RUPEES, UP 29% YOY

Source text: ID:nBSE6YmLsH

Further company coverage: CSBB.NS

((Reuters.Briefs@thomsonreuters.com;))

Dec 29 (Reuters) - CSB Bank Ltd CSBB.NS:

• PENALIZED 4.3 MILLION RUPEES BY CGST AUTHORITY

Source text: ID:nNSEyMTwK

Further company coverage: CSBB.NS

((Reuters.Briefs@thomsonreuters.com;))

Aug 13 (Reuters) - CSB Bank Ltd CSBB.NS:

• CSB BANK JUNE-QUARTER NET PROFIT 1.19 BILLION RUPEES

• CSB BANK JUNE-QUARTER INTEREST EARNED 10.41 BILLION RUPEES

• CSB BANK JUNE-QUARTER GROSS NPA 1.84%

• CSB BANK JUNE-QUARTER PROVISIONS & CONTINGENCIES 607.9 MILLION RUPEES

Source text: [ID:]

Further company coverage: CSBB.NS

((reuters.briefs@thomsonreuters.com;))

** Shares of CSB Bank CSBB.NS rise 2% to 400 rupees

** The lender's provisional total deposits up 20% Y/Y, as of June 30, while gross advances rose 32% Y/Y

** Analysts' avg. rating on stock is "buy", median PT is 400 rupees - according to data compiled by LSEG

** Stock up ~27%, YTD

(Reporting by Rudra Pratap Singh in Bengaluru)

((rudrapratap.singh@thomsonreuters.com))

May 9 (Reuters) - CSB Bank Ltd CSBB.NS:

• CSB BANK LTD - RBI APPROVES APPOINTMENT OF BISWAMOHAN MAHAPATRA AS PART-TIME CHAIRMAN

Source text: ID:nBSEMLvC0

Further company coverage: CSBB.NS

((Reuters.Briefs@thomsonreuters.com;;))

** Shares of Fairfax-owned CSB Bank CSBB.NS climb 2.8% to 309.55 rupees after Q4 business update

** Private sector bank says its deposits grew 24% as of March 31, while gross advances climbed about 30%

** Over 567,000 shares traded, 3.5x the 30-day avg volume

** Stock fell 15% in the previous fiscal year to March 31

(Reporting by Nandan Mandayam in Bengaluru)

((Nandan.Mandayam@thomsonreuters.com; Mobile: +91 9591011727;))

April 1 (Reuters) - CSB Bank Ltd CSBB.NS:

• CSB BANK LTD - TOTAL DEPOSITS AS OF MARCH 31 UP 24.03% YOY

Source text: ID:nNSE4frbkc

Further company coverage: CSBB.NS

((Reuters.Briefs@thomsonreuters.com;))

** Shares of CSB Bank CSBB.NS rise 4.3% to 327.40 rupees

** Bank's gross advance rose 26.5% y/y in the December quarter, total deposits increased 22.2% y/y

** Trading vols at 1.3 mln shares, nearly 4x 30-day average

** Stock fell 25.2% in 2024 after jumping 76.1% in the previous year

(Reporting by Vijay Malkar)

((VijayDattaram.Malkar@thomsonreuters.com;))

Jan 1 (Reuters) - CSB Bank Ltd CSBB.NS:

• GROSS ADVANCE UP 26.45% YOY AS OF DEC-END

• TOTAL DEPOSITS UP 22.17% YOY AS OF DEC-END

Source text: ID:nBSE9PpMK9

Further company coverage: CSBB.NS

((Reuters.Briefs@thomsonreuters.com;))

Oct 24 (Reuters) - CSB Bank Ltd CSBB.NS:

• CSB BANK SEPT-QUARTER NET PROFIT 1.38 BILLION RUPEES

• CSB BANK SEPT-QUARTER GROSS NPA 1.68%

• CSB BANK SEPT-QUARTER INTEREST EARNED 8.65 BILLION RUPEES

• CSB BANK SEPT-QUARTER NET NPA 0.69%

• CSB BANK SEPT-QUARTER PROVISIONS & CONTINGENCIES 139.1 MILLION RUPEES

Source text for Eikon: ID:nBSE6zPT02

Further company coverage: CSBB.NS

((Reuters.Briefs@thomsonreuters.com;))

Aug 29 (Reuters) - CSB Bank Ltd CSBB.NS:

• CSB BANK - GOT TAX ORDER FOR PENALTY OF 68.9 MILLION RUPEES

Further company coverage: CSBB.NS

((reuters.briefs@thomsonreuters.com;))

July 29 (Reuters) - CSB Bank Ltd CSBB.NS:

• CSB BANK JUNE-QUARTER NET PROFIT 1.13 BILLION RUPEES

• CSB BANK JUNE-QUARTER GROSS NPA 1.69%

• CSB BANK JUNE-QUARTER INTEREST EARNED 8.32 BILLION RUPEES

• CSB BANK JUNE-QUARTER NET NPA 0.68%

• CSB BANK JUNE-QUARTER PROVISIONS & CONTINGENCIES 200.6 MILLION RUPEES

Source text for Eikon: ID:nBSE88tbn7

Further company coverage: CSBB.NS

((Reuters.Briefs@thomsonreuters.com;))

July 1 (Reuters) - CSB Bank Ltd CSBB.NS:

• CSB BANK - PROVISIONAL TOTAL DEPOSITS FOR QUARTER-ENDED JUNE UP 22.24% Y/Y

• CSB BANK LTD - PROVISIONAL GROSS ADVANCES UP 17.8% Y/Y FOR QUARTER ENDED JUNE 30

Source text for Eikon: ID:nBSEccHjtw

Further company coverage: CSBB.NS

((reuters.briefs@thomsonreuters.com;))

** Shares of CSB Bank Ltd CSBB.NS up 4.1% at 370.60 rupees

** CSBB's top shareholder Fairfax via FIH Mauritius Investments sells 9.7% stake in private bank in 5.9 billion rupees deal; stake drops to 40%

** In November, India cenbank asked FIH to reduce shareholding to 26% over 15 years; stake sale moves FIH closer to compliance

** Stock rose as much as 7.5% earlier in the day

** Around 1.5 mln shares traded, ~5x the 30-day volume

** CSBB trims YTD losses to 11.4% but trails private bank stocks' .NIFPVTBNK ~10% rise so far this year

(Reporting by Nandan Mandayam in Bengaluru)

((Nandan.Mandayam@thomsonreuters.com; Mobile: +91 9591011727;))

** Shares of CSB Bank CSBB.NS down 5.2% at 383.7 rupees

** Co's March-qtr net profit fell 3.2% YoY

** Shares were down 0.8% ahead of the results

** Stock set for worst day since March 13, if trend holds

** Stock down 8.3% YTD after rising 76.1% in 2023

(Reporting by Varun Vyas in Bengaluru)

((varunvyas.hebbalalu@thomsonreuters.com))

** Shares of CSB Bank CSBB.NS rise 3.3% to 379.6 rupees

** Lender on Monday said its gross advances for the quarter ended March grew 17.9% y/y, while total deposits rose 21.3%

** Stock on track to rise for a seventh straight session, if gains hold; CSBB declined in Q4, snapping a six-quarter winning streak

** Stock has fallen about 8% so far this year, peers South Indian Bank SIBK.NS and Karur Vysya Bank KARU.NS lost 2.9% and 0.3%, respectively, during this period

(Reporting by Yagnoseni Das in Bengaluru)

((yagnoseni.das@thomsonreuters.com;))

Feb 29 (Reuters) - CSB Bank Ltd CSBB.NS:

• CSB BANK LTD - ONE YEAR MCLR CHANGED TO 10.40% FROM 10.50% WITH EFFECT FROM MARCH 1

Source text for Eikon: ID:nBSE3fq6MP

Further company coverage: CSBB.NS

((Reuters.Briefs@thomsonreuters.com;;))

Jan 29 (Reuters) - CSB Bank Ltd CSBB.NS:

• Q3 NET PROFIT 1.5 BILLION RUPEES VERSUS 1.56 BILLION RUPEES

• Q3 GROSS NPA 1.22% VERSUS 1.27% PREV QUARTER

• Q3 INTEREST EARNED 7.62 BILLION RUPEES VERSUS 5.92 BILLION RUPEES

• Q3 PROVISIONS & CONTINGENCIES WRITE-BACK 45.4 MILLION RUPEES VERSUS PROVISION WRITE-BACK OF 149.6 MILLION RUPEES YEAR AGO

• Q3 PROVISIONS FOR NPA 42.8 MILLION RUPEES VERSUS 47.9 MILLION RUPEES YEAR AGO

• Q3 NET NPA 0.31% VERSUS 0.33% PREV QUARTER

Further company coverage: CSBB.NS

((Reutersbriefs@thomsonreuters.com;))

Jan 2 (Reuters) - CSB Bank Ltd CSBB.NS:

• PROVISIONAL GROSS ADVANCE UP 22.6% YOY AS OF DEC 31

• PROVISIONAL TOTAL DEPOSITS AS OF DEC 31, UP 20.65% YOY

Source text for Eikon: ID:nBSE6Rf9VJ

Further company coverage: CSBB.NS

((reuters.briefs@thomsonreuters.com;))

BENGALURU, Nov 30 (Reuters) - The promoter of India's CSB Bank CSBB.NS has received approval from the Reserve Bank of India to retain a 26% stake in the lender, instead of 15% as advised by the central bank earlier, CSB said on Thursday.

FIH Mauritius Investments Ltd (FIHM), which currently holds a 49.72% stake in the Thrissur, Kerala-based bank according to BSE data, shall bring down its shareholding within 15 years from the date of completion of investments.

The RBI earlier required promoters of banks to reduce their shareholding to 15% to ensure these institutions are widely held.

However, following a legal battle with Uday Kotak, the promoter of Kotak Mahindra Bank KTKM.NS, the regulator permitted promoters to retain up to 26% in banks.

Among others, IndusInd Bank's INBK.NS promoters have benefited from the rule change, after they were given regulatory approval earlier in the year to raise their stake to 26% in the bank.

(Reporting by Meenakshi Maidas in Bengaluru; Editing by Tasim Zahid)

((Meenakshi.Maidas@thomsonreuters.com; +91 8921483410;))

Nov 28 (Reuters) - CSB Bank Ltd CSBB.NS:

• REVISED ONE YEAR MCLR TO 10.40% FROM 10.30%, EFFECTIVE DEC 1

Source text for Eikon: ID:nBSE4B6W7d

Further company coverage: CSBB.NS

((Reuters.Briefs@thomsonreuters.com;;))

MUMBAI, Nov 16 (Reuters) - The Indian government does not expect to conclude the sale of IDBI Bank IDBI.NS by the end of the financial year on March 31, 2024, a top finance ministry official told reporters.

The federal government, which owns 45.48% of IDBI Bank, and state-owned Life Insurance Corp of India LIFI.NS, which holds 49.24%, together plan to sell 60.7% of the lender.

Kotak Mahindra Bank KTKM.NS, Canadian billionaire Prem Watsa-backed CSB Bank CSBB.NS and Emirates NBD ENBD.DU have submitted initial bids for a majority stake in IDBI Bank and the Reserve Bank of India (RBI) has been vetting bidders since April.

"We practically don't think that before March we can conclude (the sale of IDBI Bank)," said Tuhin Kanta Pandey, the secretary of the Department of Investment and Public Asset Management.

Pandey added that the RBI was still conducting the vetting process. The government had previously expected that process to be completed by the end of October, raising market hopes that the sale could close by the end of March.

The sale of a majority stake in IDBI Bank has been seen as a first step towards privatising other state-run banks, and delaying the deal means the government will likely miss its divestment target of 510 billion rupees by a bigger margin.

Since the beginning of the current fiscal year in April, India has raised only 80 billion rupees by selling stakes in state-run firms.

Such sales are a key revenue raising measure that have helped Prime Minister Narendra Modi's government spend record sums on building infrastructure. But recently, the process has slowed as the government's focus has shifted towards national elections due next summer.

(Reporting by Jayshree P Upadhyay
Editing by Mark Potter)

((Aftab.Ahmed@thomsonreuters.com; +91 99109 33884;))

Oct 31 (Reuters) - CSB Bank Ltd CSBB.NS:

• CSB BANK LTD - ENTERED INTO AN AGREEMENT WITH ORACLE FINANCIAL SERVICES SOFTWARE

• CSB BANK LTD - AGREEMENT FOR PROCUREMENT OF NEW CORE BANKING SOLUTION

Source text for Eikon: ID:nBSE1vqFHL

Further company coverage: CSBB.NS

((reuters.briefs@thomsonreuters.com;))

Oct 20 (Reuters) - CSB Bank Ltd CSBB.NS:

• NIM AT 4.84% FOR Q2FY24

Source text for Eikon: ID:nBSE3mQjsM

Further company coverage: CSBB.NS

((Reutersbriefs@thomsonreuters.com;))

By Nikunj Ohri

NEW DELHI, Oct 12 (Reuters) - India's central bank is expected to accelerate a key process of vetting IDBI Bank's IDBI.NS potential buyers and complete it by October end, helping speed up the sale of a majority stake in the lender, two government sources said.

The federal government, which owns 45.48% of IDBI Bank, and the state-owned Life Insurance Corp of India LIFI.NS, which holds 49.24%, together plan to sell 60.7% of the lender.

The Reserve Bank of India (RBI) began the vetting process known as 'fit and proper criteria' in April, after Kotak Mahindra Bank KTKM.NS, the Prem Watsa-backed CSB Bank CSBB.NS and Emirates NBD ENBD.DU submitted their initial bid to acquire a majority stake in IDBI Bank.

The RBI normally takes about 12-18 months to complete the assessment before allowing an entity to run a bank.

"In discussions with the government, the RBI has conveyed that the fit and proper assessment would be complete by month-end," said one of the two government officials, who did not want to be named.

Completing the vetting process early could allow the government to invite bids in January-March, targeting a wrap-up of the sale by the end of March, both the officials said.

India's finance ministry and the RBI did not immediately respond to emails seeking comment.

The IDBI Bank stake sale is part of the government's 510 billion rupees ($6.13 billion) divestment target for fiscal 2024.

However, it is also the only significant divestment the government is focusing on this year, raising concerns about the target being met, as attention turns to the upcoming state and national elections.

Once the RBI screening concludes, the government will grant suitable bidders access to confidential data that IDBI Bank has begun collecting, such as employees' pension corpus and insurance or medical covers.

($1 = 83.1553 Indian rupees)

(Reporting by Nikunj Ohri; Editing by Janane Venkatraman)

((nikunj.ohri@thomsonreuters.com; +91 90284 60730; Reuters Messaging: twitter.com/nikunj_ohri))

Oct 3 (Reuters) - CSB Bank Ltd CSBB.NS:

• SEPT QUARTER PROVISIONAL TOTAL DEPOSITS 254.38 BILLION RUPEES, UP 21.21% YOY

Source text for Eikon: [ID:]

Further company coverage: CSBB.NS

((reuters.briefs@thomsonreuters.com;))