MUFG’s talks with HDFC Bank hit a roadblock

The Japanese lender is having trouble coming to an agreement with HDFC Bank over a 20% stake in its consumer lending unit, HDB Financial Services.

Negotiations between Japan’s Mitsubishi UFJ Financial Group and HDFC Bank for a minority stake in the latter’s consumer lending unit have reportedly hit a snag. This is because of disagreements between the two on how much of a say MUFG would have over the Indian lender’s strategy decisions, Bloomberg reported.

The report added that while MUFG remains keen on HDB Financial Services—HDFC’s non-banking financial lending subsidiary—the discussions may be prolonged or cease altogether. Insiders privy to the discussions told the publication that there was a possibility of MUFG offering HDBF more favourable terms to ensure that the deal goes …

Author

Maanav D J

Maanav is a trainee journalist at The Morning Context. He studied journalism and international relations at St. Joseph’s in Bengaluru.

Trainee journalist

maanav@mailtmc.com