HDFC Bank intends to divest its entire stake in HDFC Education
HDFC Bank, a private sector lender, is aiming to divest its entire holding in HDFC Education and Development Services through the Swiss challenge method. The bank disclosed in a regulatory filing that it is in the final stages of selecting the buyer. Additionally, it has signed a binding term sheet with a potential buyer, establishing the initial bid that will prompt competing offers from other interested parties as part of the Swiss challenge mechanism.
“In compliance with the aforementioned RBI directive, and following careful consideration and with the aim of upholding transparency in the intended divestment, HDFC Bank has opted to proceed with the sale of its entire shareholding in HDFC Edu. (referred to as the “Proposed Transaction”) utilizing the Swiss challenge method. Upon the completion of the Swiss challenge procedure, HDFC Bank will proceed to designate the buyer,” stated the bank in its regulatory filing.
“The bank added that the specifics of the definitive documentation pertinent to the proposed transaction, which must be revealed in accordance with the aforementioned regulations, will be provided upon the execution of said definitive documentation.”
