HSBC selling stakes in Axis Bank, Yes Bank

Last Updated: Wed, Jun 27, 2012 16:30 hrs

REUTERS - UK lender HSBC on Wednesday offered its entire stakes in India's Axis Bank and Yes Bank through share sales worth up to 24.5 billion rupees, according to a term sheet obtained by Reuters.

HSBC offered 19.6 million shares in Axis Bank for 950.9-970.9 rupees each and 16.8 million shares in Yes Bank for 318.1-324.8 rupees per share through its Mauritius subsidiary, the term sheet said.

Shares in both banks were being sold through HSBC's Mauritius subsidiary at discounts of 3 to 5 percent to their closing price on Wednesday, the term sheet said.

Goldman Sachs and HSBC are joint bookrunners for the sales.

Global institutional investors have been cashing in their holdings in Indian financial services firms.

Earlier this year, Citigroup sold its stake in top Indian mortgage lender Housing Development Finance Corp for $1.9 billion, while U.S. private equity firm Warburg Pincus sold its stake in Kotak Mahindra Bank Ltd to raise about $274 million.

(Reporting by Fiona Lau, Daniel Stanton and Abhishek Vishnoi; Editing by Tony Munroe and Hans-Juergen Peters)

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