Chennai-based Sundaram Finance Ltd has offloaded its entire equity holding in Credit Information Bureau India Limited (CIBIL), the central repository of credit information of all borrowers, to the US-based TransUnion International Inc, according to a stock market disclosure. The company, however, did not disclose the value of the transaction.
Sundaram Finance sold off its equity holding of 6,25,000 equity shares in CIBIL to the US-based company.
TransUnion specialises in analytics and information management and has been looking to hike its holding in CIBIL after the Indian government allowed foreign companies to own up to 74 per cent in credit information firms as against the previous ceiling of 49 per cent.
Earlier in March this year, Punjab National Bank had also sold off its 5 per cent stake in CIBIL to the US firm. Shortly after that, state-run lender Central Bank of India also offloaded its entire stake in CIBIL to TransUnion International.
Other shareholders in CIBIL include Bank of Baroda, State Bank of India, Bank of India, Union Bank, Citicorp Finance (India), ICICI Bank, HSBC, Standard Chartered Bank, Indian Overseas Bank and HDFC Ltd.
CIBIL, which collects and maintains records of an individual’s payments of loans and credit cards, is India’s largest credit bureau and commands nearly 90 per cent market share.
Sundaram Finance scrip closed the day at Rs 816.55, up 5.25 per cent on the BSE, in strong Mumbai market on Thursday.
