Kotak Mahindra Bank has signed an agreement to acquire Deutsche Bank AG’s retail banking, private banking and wealth management business in India, in a cash deal valued at about Rs 281.7 crore.
The transaction gives Kotak access to a sizeable customer and employee base in India. The business being acquired had around Rs 29,000 crore in outstanding advances, about Rs 16,000 crore in total deposits, nearly Rs 10,500 crore in assets under management, close to 150,000 customers and around 1,000 employees as of March 31, 2026.
Kotak said the deal has been structured as a business transfer on a going-concern basis through a slump sale. The bank has also clarified that it is not acquiring a separate company. Instead, it is taking over Deutsche Bank’s identified business undertaking in India.
The agreement was signed on June 30, 2026. The transaction is expected to close by September 2027, subject to regulatory approvals and the completion of conditions laid out in the agreement.
Kotak will pay the purchase consideration in cash. In addition to the Rs 281.7 crore purchase price, the bank will separately pay Deutsche Bank the net funding position of the business at the time of closing.
For Kotak, the acquisition is aimed at deepening its presence in the affluent, private banking, wealth and SME customer segments. The bank expects the transaction to add to return on equity at closing, while the Common Equity Tier 1 impact is expected to be 84 basis points, mainly because of incremental risk-weighted assets.
Ashok Vaswani, Managing Director and CEO of Kotak Mahindra Bank, said the transaction fits well with the bank’s focus on affluent and SME customers. He described it as a strong strategic fit that brings a high-quality customer franchise, experienced teams, added scale and adjacency opportunities.
From Deutsche Bank’s side, the move reflects a sharper focus on areas where it sees scale and stronger long-term returns. Kaushik Shaparia, CEO of Deutsche Bank Group India and Emerging Asia, said the transaction is an important step in sharpening the bank’s portfolio. He also said Kotak offers a strong domestic platform for continuity for Deutsche Bank’s onshore private banking and wealth clients.
The deal will need approval from the Competition Commission of India, along with NSDL and CDSL for the transfer of the depository business. Other regulatory approvals may also be required. Kotak has said the proposed transaction is not a related-party transaction and that its promoter group has no interest in the business being acquired.
If completed as planned, about 1,000 Deutsche Bank employees in India are expected to move to Kotak as part of the transaction.
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