Private lender Axis Bank on Thursday said that it will wind up its business in the UK. In a stock exchange filing, the bank said that it has initiated proceedings with the regulators in UK to close down operations of Axis Bank UK Limited, a subsidiary of Axis Bank and aims to wind up all operations by April 2021. The bank said that the decision is a part of its review of international strategy under which it has adopted a “clear objective” to focus on the Indian banking market.
The filing also stated that the decision will not impact the operations or the financial position of the bank as Axis Bank UK Limited is not its material subsidiary.
Meanwhile, the bank’s board also approved a proposal to raise Rs 15,000 crore through equity shares, depository receipts and other instruments. The bank however noted that the fund raising plan is subject to shareholders approval and did not clarify how the funds will be utilised.
The bank’s stock took a beating on Thursday as the shares fell 2.24 per cent to Rs 423.55.