US private equity group Carlyle is set to offload an interest of nearly 4% worth $513m in SBI Cards & Payment Services through a block deal.
The offer price has been set at INR981.80-1,022.10 per share.
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The deal was carried out through CA Rover Holdings, a Carlyle affiliate. BofA Securities is the sole bookrunner to the deal.
The development comes a year after SBI Cards went public last March.
Currently, Carlyle has a 15.86% stake in the SBI Cards & Payment Services, which is said to be the second largest credit card firm in India.
SBI Card launched operations in 1998 as a joint venture between State Bank of India and GE Capital.
In 2017, GE Capital exited the joint venture, selling its 40% stake to SBI and Carlyle. Carlyle picked a 26% interest in SBI Card from GE Capital in December 2017.
SBI Card moves
In November 2020, Mastercard forged a partnership with SBI Cards & Payments Services. Under this partnership, Mastercard launched contactless payments on the SBI Card mobile app.
In the same month, Paytm partnered with SBI Card to roll out co-branded contactless credit cards.
Last September, SBI Card and American Express entered into a strategic partnership to offer a mix of global benefits and exclusive privileges for consumers in India.
Earlier in 2020, SBI Card collaborated with Indian Railway Catering and Tourism Corporation (IRCTC) to launch their co-branded contactless credit card on the RuPay platform.
