Bank of India purchases 5.5% stake in ONDC for Rs 10 crore

More than 5.5% was purchased by the government-owned Bank of India. The lender announced on Tuesday that it had bought a Rs 10 crore stake in the Open Network Digital Trading (ONDC).

According to a regulatory filing from the Bank of India, the Bank made a private placement investment in ONDC on 27 September 2022, totaling Rs 10 crore in its position as a promoter shareholder of ONDC.

As of September 27, 2022, the bank claimed that its ownership in the company would be 5.56% of all ONDC shares. In all, it has purchased 10,000,000 shares of stock at Rs 100 each in its upcoming digital trading business, which will be formed in December 2021.

Other banks have invested in ONDC through stock acquisitions. The objective of ONDC is to promote open networks for all aspects of the exchange of goods and services over electronic or digital networks in the country. The framework should increase the access and participation of sellers and buyers in e-commerce.

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