Three of India’s biggest Banks, Axis Bank, HDFC Bank, and ICICI Bank accuire stakes in a newly incorporated fintech firm IBBIC Pvt Ltd (IBBIC), according to The Hindu.
In a separate stock exchange filing on Tuesday, HDFC Bank and Axis Bank each acquired 50,000 shares, a stake of about 5.55%, for 500,000 rupees ($6,700).
ICICI Bank has 49,000 shares or 5.44% of the company. The company paid 490,000 rupees ($6,600).
IBBIC is a financial technology company to provides a platform for exploring, building, and implementing Distributed Ledger Technology (DLT) solutions for the Indian financial services sector. IBBIC was incorporated on May 25 this year as a financial technology company.
Eighteen banks in India set up the company. IBBIC will use blockchain technology to process inland LCs. The list of banks includes RBL Bank, ICICI Bank, HDFC Bank, Kotak Mahindra Bank, Axis Bank, IndusInd Bank, Yes Bank, South Indian Bank, Federal Bank, IDFC First Bank, State Bank of India (SBI), Bank of Baroda (BoB), Indian Bank, Canara Bank, IDBI Bank, Punjab National Bank, Union Bank of India and Standard Chartered. Each bank will invest Rs5 Crore in the company, making the total capital INR 75 Crores.