RBI denies approval for Dia Vikas Capital's 5% stake purchase in ESAF SFB

The central bank has refused approval for Dia Vikas Capital's proposed 5% stake purchase, prompting ESAF SFB's board to review its promoter scheme and next steps

The Reserve Bank of India (RBI) has rejected Dia Vikas Capital Private Ltd’s proposed stake acquisition in ESAF Small Finance Bank (SFB), according to an exchange filing by the lender.

 

In the filing, the bank said, “The Reserve Bank of India, vide email dated October 27, 2025, has informed that the acquisition of shares pursuant to the scheme by M/s Dia Vikas Capital Private Limited, one of the identified shareholders under the scheme, in excess of 5 per cent of paid-up share capital of the Bank cannot be acceded to.”

 

The lender added that, in view of this development, the board of the promoter company, in consultation with the shareholders concerned, is assessing the implications of the RBI’s decision.

 

Promoter board to review alternative plans

 

The scheme had been approved by the board of the promoter company on December 10, 2024. Following the RBI’s communication, the board is now evaluating alternative courses of action to achieve the intended objectives of the scheme and to ensure that the promoter shareholding in the bank complies with the RBI’s Bank Ownership Directions, 2023.

 

“Pending the same, the scheme would not be filed with the Hon’ble National Company Law Tribunal,” ESAF SFB said.

 

Shares of ESAF Small Finance Bank closed 3.62 per cent lower at Rs 28.50 on Tuesday.