How much capital will Axis Bank inject into Axis Finance?

Axis Bank will inject Rs 1,500 crore into Axis Finance by March 2027.

What prompted Axis Bank to reverse its decision to sell a stake in Axis Finance?

Revised RBI guidelines now permit group entities to operate in similar businesses, removing previous regulatory obstacles for Axis Bank.

What was the financial performance of Axis Finance?

Axis Finance's assets under finance grew 22% year-on-year to Rs 44,972 crore, and it reported a profit after tax of Rs 571 crore for the nine months ending December 2025.

Home / Business and Economy / Axis Bank Infuses ₹1,500 Cr Into Finance Arm

Axis Bank Infuses ₹1,500 Cr Into Finance Arm

18 Mar

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Summary

Axis Bank will inject Rs 1,500 crore into Axis Finance by March 2027.
The infusion will occur via a rights issue, reversing earlier sale considerations.
Revised RBI guidelines permit group entities in similar businesses.

Axis Bank Infuses ₹1,500 Cr Into Finance Arm

Axis Bank has approved infusing Rs 1,500 crore into its subsidiary, Axis Finance, by March 2027. This capital will be provided through a rights issue. The decision marks a reversal from earlier considerations to sell a stake in Axis Finance.

The change in strategy follows the Reserve Bank of India's relaxation of guidelines. These revised rules now allow banking groups to have subsidiaries operating in the same business lines. Previously, draft RBI guidelines had prevented Axis Bank from injecting further capital, leading to explorations of stake dilution.

Axis Finance has demonstrated strong growth, with assets under finance increasing by 22% year-on-year to Rs 44,972 crore by December 2025. The subsidiary also reported a profit after tax of Rs 571 crore for the nine months ending December 2025, up 12% from the prior year.

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