BusinessLine·2026-01-12 06:34Group 1: Core Insights - Deutsche Bank AG's retail assets and wealth management in India have attracted binding bids from Kotak Mahindra Bank Ltd. and Federal Bank Ltd. as local lenders seek opportunities from foreign players exiting the competitive banking market [1] - The assets being discussed have an estimated book size of at least $2.5 billion, with ongoing negotiations that could still fall through [2][3] - The assets include mortgage loans, small business loans, and wealth management services, with Deutsche Bank having previously halted a sale of its retail and private wealth business in 2018 due to unsatisfactory pricing [4] Group 2: Company Strategies - Kotak Mahindra Bank aims to strengthen its position in wealth and private banking through this acquisition, having previously expanded its retail business by acquiring Standard Chartered Bank's personal loan portfolio in India in 2024 [7] - Federal Bank's successful acquisition would facilitate its transformation from a regional lender to a national financial services player, supported by Blackstone's investment of over $700 million, making it the bank's largest shareholder [8] Group 3: Industry Trends - Indian lenders are expanding their businesses to capitalize on the booming wealth management market, driven by strong economic growth and increasing deposits [6] - The trend of stake purchases in India's banking sector by Japanese and other lenders indicates a growing appetite for banking assets [6]