ICICI Bank Limited has announced its decision to sell a 19% stake in its associate company, ICICI Merchant Services Private Limited (IMSPL), to First Data Holdings 1 (Netherlands) BV, a global leader in electronic commerce and payment services. This divestment is subject to requisite approvals and is expected to be completed by June 30, 2025. Following this transaction, IMSPL will cease to be an associate of ICICI Bank.
Key Financial Details of IMSPL
- Revenue (FY24): ₹4.75 billion
- Net Worth (as of March 31, 2024): ₹6.45 billion
Transaction Details
- Stake Sold: 19%
- Consideration: ₹1.6–1.9 billion
- Buyer: First Data Holdings 1 (Netherlands) BV
- Expected Completion Date: By June 30, 2025
- Nature of Transaction: Not a related-party transaction
First Data Holdings 1 (Netherlands) BV is a global leader in electronic commerce and payment services, leveraging cutting-edge technology and innovative solutions to streamline payment systems globally. The company is well-regarded for its expertise in managing large-scale payment operations.
The sale aligns with ICICI Bank’s broader strategic objectives to streamline its investments and focus on its core banking operations. The transaction also reflects ICICI Bank’s strategy to monetize its non-core assets at favorable valuations.
The transaction does not fall under related-party transactions, as the buyer is not part of ICICI Bank’s promoter or promoter group companies. Furthermore, the sale is conducted outside the purview of any amalgamation or merger schemes and complies with the regulations outlined under SEBI’s LODR norms. Upon the successful completion of the sale, IMSPL will no longer remain an associate of ICICI Bank.
