Kotak Mahindra Bank

1985–2002: Kotak Mahindra Finance

In 1985, Uday Kotak founded Kotak Capital Management Finance Limited as a financial services company with a loan of ₹30 lakh from family and friends.[8] In 1986, Anand Mahindra and his father Harish Mahindra invested ₹1 lakh in the company which was subsequently renamed Kotak Mahindra Finance.[9] The company was initially engaged in bill discounting, along with lease and hire purchase activities.[10]

In the early 1990s, the company started offering car financing and investment banking services and expanded its operations overseas. In 1996, car financing company Kotak Mahindra Primus was incorporated as a 60:40 joint venture between Kotak Mahindra Finance and Ford Credit International.[11] In the same year, Kotak Mahindra Finance hived off its investment banking division into a new company, Kotak Mahindra Capital, started in partnership with Goldman Sachs.[12]

In 1998, Kotak Mahindra Finance started its mutual fund arm called Kotak Mahindra AMC.[13] In 2001, OM Kotak Mahindra Life Insurance was established as a 74:26 joint venture between Kotak Mahindra Finance and Old Mutual.[14]

2003–present: Kotak Mahindra Bank

In February 2003, Kotak Mahindra Finance received a banking licence from the Reserve Bank of India, becoming India's first non-banking finance company to be converted into a bank. Kotak Mahindra Finance was then renamed Kotak Mahindra Bank.[15] At the time, Uday Kotak had a 56% stake in the company while Anand Mahindra held a 5% stake.[16]

In 2005, Kotak Mahindra Bank acquired Ford Credit's 40% stake in Kotak Mahindra Primus, making it a wholly owned subsidiary of the group.[17] Kotak Mahindra Primus was subsequently renamed as Kotak Mahindra Prime.[18] In 2006, Kotak Mahindra Bank bought out Goldman Sachs' 25% stake in Kotak Mahindra Capital for inr 2100000000 and 25% in Kotak Securities for inr 1230000000, turning both companies into its wholly owned subsidiaries.[19]

In 2014, Kotak Mahindra Bank acquired a 15% stake in Multi Commodity Exchange (MCX) from Financial Technologies Group for inr 4590000000 to become the company's largest shareholder.[20]

In 2014, Kotak Mahindra Bank announced the acquisition of ING Vysya Bank in a deal valued at inr 150000000000. With the merger completed in 2015, Kotak Mahindra Bank had almost 40,000 employees, and the number of branches reached 1,261.[21] After the merger, ING Group, which controlled ING Vysya Bank, obtained a 6.5% stake in Kotak Mahindra Bank.[22]

In 2015, Kotak Mahindra General Insurance, a wholly owned subsidiary of Kotak Mahindra Bank, started operations after receiving IRDAI's approval.[23] In 2016, Bharti Airtel and Kotak Mahindra Bank started an 80:20 joint venture called Airtel Payments Bank.[24]

In 2016, Kotak Mahindra Bank acquired BSS Microfinance for inr 1392000000.[25]

In March 2017, Kotak Mahindra Bank launched an online savings account called Kotak 811,[26] named after the date Prime Minister Narendra Modi had announced demonetisation in the previous year (8 November), which according to Uday Kotak was "the day that changed India."[27][28] Kotak 811 helped the bank double its number of customers by September 2018.[29]

In April 2017, Kotak Mahindra Bank acquired Old Mutual's 26% stake in Kotak Mahindra Old Mutual Life Insurance for inr 12920000000, making the life insurance company its wholly owned subsidiary.[30]

In 2021, Kotak Mahindra Bank sold its 8.57% stake in Airtel Payments Bank to Bharti Enterprises for inr 2950000000.[31] In the same year, Kotak Mahindra Group acquired the vehicle financing portfolio of Volkswagen Finance India[32] and passenger vehicle financing portfolio of Ford Credit India.[33] In 2022, it acquired the agriculture and healthcare equipment financing portfolio of DLL India.[34]

In 2023, Kotak Mahindra Bank acquired microfinancier Sonata Finance for inr 5370000000.[35]

In February 2024, Zurich Insurance Group announced its acquisition of a 70% stake in Kotak Mahindra General Insurance for inr 55600000000.[36]