On Wednesday, RBL Bank said it had sold more than 12% of its stake in Kilburn Engineering since May for a total consideration of more than Rs 17 crore. Private sector lenders have acquired 67,50,000 shares in Kilburn Engineering (Kilburn) under a debt restructuring plan.

This represents 19.67% of the company’s share capital as part of RBL Bank’s conversion of outstanding loans under a debt restructuring plan in February 2021, with a lock-up period of one year.

In a regulatory filing, RBL Bank said: “We would like to inform you that the bank has sold an additional 22,00,000 equity shares representing 6.41% of the paid-up share capital of Kilburn Engineering”.

RBL Bank said the sale would occur between May 17 and August 17, 2022, through the stock exchange at prevailing market prices. On August 12, it sold 7,07,468 shares (2.06%) and reduced its holdings by 12,42,532 shares (3.62%) on August 11. RBL Bank said the percentage of sales on August 11 was more than 2%. 4% on August 12 and 12% on August 17, 2022.

Listed companies must disclose if the shareholding is affected by 2% or more. “The total consideration for the sale of 41,50,000 shares is Rs 17,00,94,821 (until August 17, 2022),” the lender said.

The lender said its stake in Kilburn had dropped to 7.58% following the sale of those stakes. For the financial year ended March 31, 2022, Kilburn’s total revenue was Rs 124.4 crore. Its balance sheet size stands at Rs 232.87 crore.

The bank said in a separate filing that it held a board meeting on August 22 to consider a proposal to raise funds through a private bond placement. However, it made no mention of the scale of the funding sweep. RBL Bank closed 3.17% higher at Rs 100.95 per share on the BSE.