Federal Bank said on Thursday that its board has approved a proposal to acquire a portion of Standard Chartered Bank's domestic retail credit cards portfolio.
In March, Reuters reported that Standard Chartered had been reviewing offers from Kotak Mahindra Bank and Federal Bank for a segment of its credit card portfolio, which includes up to 600,000 India-based customers who hold only credit card accounts.
The London-based lender has been offloading non-core components in India as part of efforts to boost profitability.
Last year, Standard Chartered sold its India personal loan business, valued at $488 million at the time, to Kotak Mahindra Bank.
Federal Bank did not disclose the financial details or the size of the portfolio involved in the proposed deal, noting that the transaction is subject to execution of a formal agreement.
