By BullScreen Editorial Team 
Kotak Mahindra Bank is close to acquiring the India retail business of Deutsche Bank in a deal valued at around ₹4,500 crore, according to people familiar with the matter cited by ET. The bank has emerged as the preferred bidder, with an official announcement expected as early as next week.
The proposed transaction includes a retail loan and deposit portfolio of nearly ₹27,000 crore, covering personal and home loans, MSME lending, retail deposits, and wealth management assets. The wealth management segment alone is estimated at ₹7,000 crore, while the rest is largely driven by retail and MSME loans.
Sources said Kotak may pay a slight premium over the portfolio’s net asset value of about ₹4,300 crore after outbidding Federal Bank. Final deal terms may be adjusted at closing. Deutsche Bank’s India retail unit, which operates through around 17 branches, has built a niche presence among affluent customers.
The business generated revenue of ₹2,455 crore in FY25, marking modest growth from the previous year, with total assets of over ₹25,000 crore.
For Kotak, the acquisition is expected to strengthen its retail franchise, expand its MSME portfolio, and deepen its presence in wealth management and high-net-worth segments. The move aligns with the bank’s strategy of pursuing acquisitions that offer strategic fit, value, and integration feasibility.
For Deutsche Bank, the divestment is part of its global restructuring under CEO Christian Sewing, aimed at improving profitability and focusing on core operations.
The deal reflects ongoing consolidation in India’s banking sector, following similar transactions in recent years, as lenders seek scale, profitability, and stronger positioning in urban retail markets.