No divesting of Fed Bank, SIB stake for now

ICICI Bank has no immediate plans to divest its stake in South Indian Bank (SIB) and Federal Bank despite the Reserve Bank of India (RBI) guideline which states that no single entity should hold more than 5 per cent stake in any private sector bank.

ICICI Bank hold around 20 per cent stake in Federal Bank and 10 per cent stake in South Indian Bank.

"We have no immediate plans to divest our stake in the banks though we are in constant dialogue with the RBI ," said KV Kamath managing director and chief executive officer ICICI Bank. "We view the holdings purely as an investment.