Bank of India, Union Bank of India sell stake in TransUnion CIBIL

Bank of India, Union Bank of India have sold their entire stake in TransUnion CIBIL to TransUnion International for Rs381.24 crore


Bank of India has been trying to sell its non-core assets in a bid to improve its profit, after being hit by bad loans. Photo: Mint
Bank of India has been trying to sell its non-core assets in a bid to improve its profit, after being hit by bad loans. Photo: Mint

Mumbai: Public sector lenders Union Bank of India (UBI) and Bank of India (BoI) said on Thursday that they have sold their entire stakes in TransUnion CIBIL to TransUnion International Inc. for Rs381.24 crore. The banks each held a 5% stake.

Banks have been trying to sell assets to shore up their capital after being hit by bad loans.

In the September quarter, Bank of India sold its 18% stake in Star Union Daiichi Life Insurance to Life Insurance Corp. of India, earning Rs495 crore in pre-tax profit.

Bank of India posted a net profit of Rs101.72 crore for the December quarter. Its capital adequacy ratio was at 12.11%.

After the latest stake sales, TransUnion International will hold 92.1% in Cibil.

The rest of the shares are owned by Aditya Birla Trustee Co. Pvt. Ltd, India Alternatives Private Equity Fund and India Infoline Finance Ltd.

Bank of India’s shares gained 0.64% to Rs126.60 on Thursday and shares of Union Bank rose 1.02% to Rs148.95. The Sensex closed up 0.56% at 29,332.16 points.

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