Bank of India acquires 5.56% stake in Open Network for Digital Commerce for Rs 10 crore

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Bank of India acquires 5.56% stake in Open Network for Digital Commerce for Rs 10 crore

State-owned bank, Bank of India, said on Tuesday it has acquired a 5.56 per cent stake in Open Network for Digital Commerce ONDC for Rs 10 crore. We are hereby informed that on 27.09.2015, according to the provisions of Regulation 30 of the Securities and Exchange Board of India Listing Obligations and Disclosure Requirements Regulations. The Bank invested in the capacity of Promoter Shareholder of ONDC in the year 2022, an amount of Rs 10 crore in Open Network for Digital Commerce ONDC under Private Placement Route, according to the regulatory filing.

As of September 27 the lender's shareholding in the company amounts to 5.56 per cent of the total shareholding as a result of the equity participation.

The deal is expected to be completed in the second quarter of FY 23 according to the bank.

It acquired 10,00, 000 equity shares for Rs 100 each in the yet-to-be operational digital commerce company, incorporated in December 2021.

Other banks have also acquired stakes in ONDC, according to the Bank of India. In March, ICICI Bank acquired 10 lakh equity shares with a 5.97 per cent stake in ONDC for Rs 10 crore. In March, Punjab National Bank had also acquired 5.97 per cent of the ONDC for Rs 10 crore.

In March, HDFC Bank said that it had a 7.84 per cent stake in ONDC for Rs 10 crore. Kotak Mahindra Bank, Axis Bank, State Bank of Lndia SBI also acquired a 7.84 per cent stake in ONDC for Rs 10 crore.

Bombay Stock Exchange's BSE 100 per cent subsidiary BSE Investments Limited BSEIL acquired 5.88 per cent of the ONDC.

The Open Network for Digital Commerce initiative aims at promoting open networks for all aspects of exchange of goods and services over digital or electronic networks. ONDC will be based on open specifications and open network protocols that are independent of any specific platform, as per the Ministry of Commerce Industry.