Goldman Sachs opts out of India JV

After long negotiations with Kotak to try and increase its stake, Goldman decides to go it alone instead.
March 16, 2006
Goldman Sachs announced yesterday March 16 that it is dissolving its decade long partnership with the Kotak group. The announcement comes after what is believed to have been lengthy negotiations to restore some equilibrium to the partnership in which Goldman only owned 25% of an investment banking and securities joint venture.

In an announcement, the US investment bank said that Kotak Mahindra Bank will pay Rs1.2 billion $27.1 million for its 25% stake in Kotak Securities and Rs2.1 billion $47.5 million for its 25% stake in Kotak Mahindra Capital Company.

Kotak Mahindra's shares rose 6.4% yesterday, suggesting the market welcomed the removal of uncertainty about the state of the JV.

Goldman will now set...

FinanceAsia has updated its subscription model.

Registered readers now have the opportunity to read 5 articles from our award-winning website for free.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team subscription (2-5 users), or office-wide licences.

To help you and your colleagues access our proprietary content, please contact us at [email protected], or +(852) 2122 5222

Article limit is reached.

Hello! You have used up all of your free articles on FinanceAsia.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team subscription (2-5 users), or office-wide licences. To help you and your colleagues access our proprietary content, please contact us at [email protected], or +(852) 2122 5222