StanChart to sell select credit cards biz to Federal Bank

MUMBAI: Federal Bank said it agreed to acquire a select credit card portfolio of around 4.5 lakh cards from Standard Chartered Bank, India, comprising customers with standalone card relationships. The transaction will strengthen Federal Bank’s retail strategy with a sharper push in the non-co-branded segment. and provide access to a seasoned, high-quality customer base. The bank currently has around 800,000 non-co-branded cards and 1.3 million co-branded cards, and its non-co-branded receivables are expected to rise around 90% after the acquisition. The deal is valued at around 1.5-1.6 times implied equity, with the final consideration linked to balances at the time of transfer and subject to customer consent and timing.Around 75% of the acquired portfolio is concentrated in the top eight cities, which will more than double Federal Bank’s presence in these markets. The transaction does not need regulatory approvals and is likely to close within 2026. The sale continues Standard Chartered’s shift towards wealth and affluent segments and away from predominantly single-product relationships.