Shares of RBL Bank surged by over 9% on Monday in anticipation of a $3 billion capital infusion from Emirates NBD Bank, which represents the largest foreign direct investment in India’s financial services sector. The deal, expected to finalize by June next year pending regulatory and government approvals, saw RBL Bank’s stock rise 9.13% to close at ₹326.85 on the Bombay Stock Exchange (BSE). Intraday trading recorded a peak of ₹328.90, marking a 52-week high.
At the National Stock Exchange (NSE), shares rose 9% to ₹326.65. RBL Bank’s management expressed optimism over the impending investment and its strategic implications. The bank plans to merge with Emirates NBD’s wholly owned subsidiary operating in India, categorizing itself as a “listed foreign bank subsidiary” following the merger.
“Our aspiration is to grow multi-fold, and the capital will help. We are currently a mid-sized small bank, and our aim is to enter the league of larger banks,” RBL’s Managing Director and Chief Executive R. Subramaniakumar stated in an interview in Mumbai on Sunday. He projected that within the next three to five years, RBL Bank will achieve the status of a “large bank” alongside the major private sector lenders in the country.
Subramaniakumar detailed the strategy behind the merger, highlighting an intention to expand the bank’s corporate lending segment by facilitating larger loans. Additionally, the partnership with Emirates NBD is expected to enhance RBL Bank’s capabilities in wealth management.
The developments reflect RBL Bank’s strategic move to elevate its market position within India’s banking landscape.
Published on October 20, 2025.
