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Tuesday, March 22, 2011

Indusind Bank to acquire Deutsche Bank's India credit card business: Report


Indusind Bank is reportedly looking to acquire the German lender Deutsche Bank's India-specific credit card business.  Axis Bank and IndusInd Bank are the only two bidders narrowed out of 11 bidders by Deutsche Bank and the deal is expected to conclude over the next quarter. Its credit card business in India has 1,50,000 active cards and outstanding of Rs 225-250 crore.
IndusInd is close to striking the deal with Deutsche Bank and could offer a small premium to the amount outstanding on the current credit card base, which is in the range of Rs 225-250 crore.
IndusInd Bank seems to have an edge over Axis Bank which is in the last leg of deal and would be able to absorb the 217 people employed in the credit card division of Deutsche Bank. It would be a lift and drop deal with IndusInd Bank as it is in the process of launching its credit card business.

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