HDFC and Kotak Mahindra Bank are eyeing to grab a controlling stake in PNB Housing Finance, reported The Economic Times.

Both HDFC and Kotak are competing for a controlling stake of around 66 percent in PNB Housing Finance, that is owned by promoters Punjab National Bank (PNB) and Carlyle, the report said.

“HDFC and Kotak Bank met with the management of PNB Housing Finance last week to discuss buying out private equity fund Carlyle’s entire stake of around 33 percent and another 33 percent on block from PNB,” a person close to the development was quoted as saying in the report.

The deal is expected to fetch PNB and Carlyle around Rs 6,000 crore each, the daily said.

Punjab National Bank has started the process of appointing an investment bank for the deal, while Carlyle is said to have already appointed Morgan Stanley as adviser, the report added.

Earlier, the fraud-hit PNB had informed the stock exchange that it will disinvest from PNB Housing Finance, Icra, Crisil and BSE at appropriate time based on market conditions.

First Published:Jun 25, 2018 9:55 AM IST