Axis Bank to sell UK arm to tech platform

Mumbai: Axis Bank has informed the stock exchanges that it has agreed to sell its UK subsidiary to OpenPayd Holdings. According to the filing, the UK arm contributed Rs 206 crore total income in FY20 and had a net worth of Rs 765 crore as of March 2020. This is almost 1% of the bank’s net worth.
The specified date for the completion of the sale has been fixed at September 30, 2021 and is subject to the approval of the UK Financial Regulator and the Prudential Regulation Authority.The UK unit is being sold for a consideration that includes the net asset value of the firm plus a fixed premium of $5.5 million.
The buyer OpenPayd Holdings is a company incorporated in England and Wales. The company was established as a technology-led platform that brings together experts from banking, payments and fintech sectors to disrupt corporate banking and payments service providers.