Softbank invests ₹2,800 crore in Indiabulls Housing UK arm Oaknorth

: Indiabulls Housing Finance on Friday said Japan’s Softbank is investing ₹2,800 crore of equity capital in its associate Oaknorth, a commercial bank in the United Kingdom.

“With this investment, the total equity capital in the bank will be ₹7,000 crore,” Indiabulls Housing Finance said in a regulatory filing.

The New Delhi-based Indiabulls Housing Finance said OakNorth is the fastest growing new bank in Europe, leveraging technology tools for fast and efficient disbursals to the small and medium-sized enterprises (SME) sector.

The bank has no physical branches.

“The current loan book of Oaknorth is ₹21,390 crore and the bank has no delinquencies as on date,” the company added.

Oaknorth was seeded by Indiabulls Housing in October 2015 with ₹650 crore to own a 40% controlling stake in the bank.

Last year, Indiabulls sold a part of its holding to the government of Singapore f or ₹ 900 crore.

Shares of Indiabulls Housing Finance, the mortgage lender, were trading 4.98% lower at ₹620.25 apiece on the Bombay Stock Exchange.

NEW DELHI