RBI Approves Mirae Asset Mutual Fund to Acquire 9.50% Stake in Equitas Small Finance Bank

The Reserve Bank of India has approved Mirae Asset Mutual Fund to acquire an aggregate holding of up to 9.50% of the paid-up share capital or voting rights in Equitas Small Finance Bank . This regulatory approval allows the mutual fund to increase its stake in the bank, subject to compliance with specific banking and financial regulations.

The approval, communicated to the bank on June 01, 2026, at 17:21 hours, is valid for a period of one year from the date of approval. The transaction is contingent upon adherence to the relevant provisions of the Banking Regulation Act, 1949, and the Reserve Bank of India (Commercial Banks-Acquisition and Holding of Shares or Voting Rights) Directions, 2025 dated November 28, 2025.

Transaction Details

The key parameters of the approved transaction are outlined below:

Detail:	Description
Acquirer:	Mirae Asset Mutual Fund
Target:	Equitas Small Finance Bank Limited
Approved Stake:	Up to 9.50% of paid-up share capital or voting rights
Approval Date:	June 01, 2026
Validity:	One year from the date of approval

Regulatory Compliance

The acquisition is subject to compliance with various statutory frameworks. In addition to the Banking Regulation Act and the specific RBI directions, the transaction must align with the provisions of the Foreign Exchange Management Act, 1999. Regulations issued by the Securities and Exchange Board of India and other applicable statutes and guidelines must also be followed.

The approval covers the acquisition of an aggregate holding, which includes both paid-up share capital and voting rights. The specific directions issued by the RBI in November 2025 govern the acquisition and holding of shares in commercial banks, ensuring that such investments remain within regulatory limits.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
+1.63%	+1.07%	+6.06%	+12.09%	+6.06%	+17.29%

Equitas Small Finance Bank Limited has granted 29,20,631 stock options to eligible employees, including Whole-time Directors and Material Risk Takers, under the ESFB Employee Stock Option Scheme 2019. The grant, approved by the Nomination & Remuneration Committee on May 28, 2026, aims to incentivize employees through equity ownership. The options will vest over three years from the grant date, subject to the beneficiaries remaining in service and receiving necessary regulatory approvals.

The allocation includes 14,28,305 options for Whole-time Directors and Material Risk Takers, priced at ₹72.18 per share. The remaining 14,92,326 options were granted to other eligible employees, with a significant portion issued at face value. The scheme complies with SEBI (Share Based Employee Benefits and Sweat Equity) Regulations, 2021, and shares issued upon exercise will rank pari-passu with existing equity shares.

Breakdown of Options Granted

The bank categorized the grants based on employee roles, with distinct pricing structures for each category.

Category	Number of Options	Exercise Price (₹)
Whole-time Directors & MRTs	14,28,305	72.18
Other Eligible Employees	12,15,697	10.00
Other Eligible Employees	2,76,629	72.18
Total	29,20,631

Vesting and Exercise Terms

The stock options will vest over a period of three years from May 28, 2026. The vesting is deferred annually, and 100% of the total options will vest only if the employee continues to be part of the bank. Grants made to the Managing Director & CEO and Executive Director are subject to approval by the Reserve Bank of India.

Once vested, the options can be exercised within three years from the date of vesting. Each option, upon exercise, entitles the holder to one equity share of the bank. The disclosure was made to the exchanges in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.