DFC Bank said on Wednesday it has completed the sale of its stake in education finance arm HDFC Credila for Rs 9,553 crore to private equity firms BPEA EQT and ChrysCapital.

HDFC Bank said on Wednesday it has completed the sale of its stake in education finance arm HDFC Credila for Rs 9,553 crore to private equity firms BPEA EQT and ChrysCapital.

After the deal, HDFC Credila will cease to be a subsidiary of the bank.

“HDFC Bank has, as of March 19, 2024, sold 14,01,72,180 equity shares of HDFC Credila to the Acquirers. Accordingly, HDFC Credila has ceased to be a subsidiary of HDFC Bank,” the lender said in an exchange filing.

The acquirer companies include Kopvoorn BV, Moss Investments, Defati Investments Holding B V and Infinity Partners. HDFC Bank will maintain a 9.99% stake in HDFC Credila. The share sale comes after the Reserve Bank of India in April directed HDFC Bank to reduce its shareholding in HDFC Credila to 10% within two years of the merger with mortgage lender HDFC.

The conclusion of the deal comes ahead of HDFC Bank’s fourth-quarter results next month. In the December quarter, HDFC Bank’s net profit rose 2.5% sequentially to Rs 16,373 crore. Figures are not comparable year-on-year as HDFC Bank concluded the merger with HDFC in July 2023.

HDFC Credila reported a total revenue of Rs 1,352.18 crore, and its loan book stood at Rs 15,298 crore in the last fiscal.