The Board of Directors of Canara Bank has approved the sale of its 70% stake in unlisted subsidiary Canbank Factors Limited to Vidvedaa Private Limited. The transaction is valued at ₹80.50 crore and awaits necessary regulatory and statutory approvals.

The decision was taken during a board meeting held on August 29, 2026. The sale involves the transfer of 100% equity shares of the subsidiary company to the buyer.

Transaction Details

The deal marks a strategic divestment for the public sector lender. Key terms of the agreement include:

The bank informed stock exchanges about the move via a disclosure letter dated August 29, 2026. The reference cited was a previous communication from November 28, 2023, regarding subsidiaries.

What the Numbers Show

The fixed consideration of ₹80.50 crore for a 70% stake implies a total implied valuation of approximately ₹115 crore for Canbank Factors Limited, though this figure is not explicitly stated in the filing. The transaction remains contingent on external regulatory clearances, meaning no cash inflow or accounting impact will be recognized until those conditions are met.

Canara Bank has confirmed the timely payment of ₹149.60 crore in annual interest on its Unsecured Subordinated Tier 2 Bonds. The payout was credited to bondholders' accounts on August 27, 2026.

The bank issued this disclosure under Regulation 57 of the SEBI (Listing Obligations & Disclosure Requirements) Regulations, 2015. The payment corresponds to the bond series with ISIN INE476A08175, which has an issue size of ₹2,000 crore.

Payment Details

The interest payment was scheduled for August 26, 2026. However, as this date fell on a holiday, the bank executed the transfer on the next business day, August 27, 2026, in accordance with the terms of the Information Memorandum.

Funds were transferred via RTGS, NEFT, IBA, or DD modes. The last interest payment for this series was made on August 26, 2025. There were no delays or non-payments reported for this cycle.