1729 Capital, a Foreign Portfolio Investor (FPI) registered with the Securities and Exchange Board of India (SEBI), has received post-facto approval from the Reserve Bank of India (RBI) for its 7.14% shareholding in Suryoday Small Finance Bank Limited (SSFB). This development marks a significant milestone for both 1729 Capital and Suryoday Small Finance Bank, potentially influencing the bank's governance and strategic direction.

Key Details of the Approval

• Approval Date: November 13, 2025
• Approval Reference: CO.DOR.HGG.No.S6188/16-02-004/2025-26
• Approved Stake: 7.14% aggregate holding in SSFB

Implications of the Approval

1. Removal of Voting Rights Restriction: The previous restriction limiting 1729 Capital and its associates' voting rights to less than 5% has been lifted.

2. Regulatory Compliance: The approval is contingent on compliance with:

   • Banking Regulation Act, 1949
   • Master Direction and Guidelines on Acquisition and Holding of Shares or Voting Rights in Banking Companies
   • Foreign Exchange Management Act (FEMA), 1999
   • SEBI regulations

Financial Context

While the news doesn't directly relate to SSFB's financials, it's worth noting the bank's recent financial position:

The bank has shown significant growth in its asset base and investments over the past year, indicating a robust financial position.

Potential Implications

1. Enhanced Investor Confidence: RBI's approval may boost investor confidence in SSFB, potentially attracting more institutional investors.

2. Strategic Influence: With a 7.14% stake and unrestricted voting rights, 1729 Capital may have a more significant say in SSFB's strategic decisions.

3. Regulatory Scrutiny: The approval underscores the importance of adherence to regulatory norms in the banking sector, especially concerning foreign investments.

As this development unfolds, stakeholders will be keen to observe how 1729 Capital's increased stake influences Suryoday Small Finance Bank's future growth trajectory and operational strategies. The banking sector continues to be a focal point for foreign investments, highlighting India's evolving financial landscape and the increasing interest of global investors in the country's banking institutions.

Suryoday Small Finance Bank 's Managing Director, CEO, and Promoter, Baskar Babu Ramachandran, has received approval for a trading plan to acquire 50,000 equity shares of the bank. This move, approved under SEBI insider trading regulations, demonstrates a significant commitment from the bank's leadership.

Key Details of the Trading Plan

Regulatory Compliance and Restrictions

The trading plan, approved on November 13, 2025, adheres to the Securities and Exchange Board of India (SEBI) Prohibition of Insider Trading Regulations, 2015. Key points of the plan include:

1. A mandatory 120-day cool-off period for Ramachandran and his immediate relatives.
2. The plan is irrevocable, requiring strict adherence to the outlined trades.
3. Execution is subject to the absence of any unpublished price-sensitive information.

Implications and Context

This move by Ramachandran may be seen as a vote of confidence in Suryoday Small Finance Bank's future prospects. It's worth noting that such insider purchases often signal management's positive outlook on the company's value and potential growth.

Additional Corporate Updates

In a separate but related development, Suryoday Small Finance Bank also disclosed that the Reserve Bank of India (RBI) has granted post facto approval to 1729 Capital and its associates for an aggregate holding of 7.14% in the bank. This approval, dated November 13, 2025, is subject to compliance with various regulatory provisions, including the Banking Regulation Act, 1949, and RBI's guidelines on acquisition and holding of shares in banking companies.

These developments underscore the dynamic nature of Suryoday Small Finance Bank's corporate landscape and its adherence to regulatory requirements in its operations and ownership structure.