Sumitomo Mitsui Banking Corporation (SMBC) is reportedly planning to take a major stake in Yes Bank to strengthen its presence in BFSI sector in India. The Japanese giant has already funded several companies including fintech and housing finance companies:
Japan’s Sumitomo Mitsui Banking Corp (SMBC) is reportedly looking to acquire a significant stake in Indian private lender Yes Bank. SMBC aims to buy a controlling stake of up to 51%, which would make it the largest shareholder in the bank.
Sumitomo Mitsui Banking Corporation (SMBC) is a leading Japanese multinational bank under Sumitomo Mitsui Financial Group (SMFG). It has significantly expanded its footprint in India through strategic investments and partnerships across various sectors in last few years.
In December 2021, SMBC's parent company, Sumitomo Mitsui Financial Group (SMFG), acquired a 74.9% stake in Fullerton India Credit Co. Ltd., a non-banking financial company (NBFC) focused on providing financial services to small and medium-sized enterprises (SMEs) and individuals. By March 2024, SMFG acquired the remaining 25.1% equity stake, making it a wholly-owned subsidiary and rebranding it as SMFG India Credit Co. Ltd.
In June 2023, SMBC, along with the Asian Infrastructure Investment Bank and Intermediate Capital Group, committed to invest $250 million in Amp Energy India. This investment aims to support Amp Energy's expansion plans in the renewable energy sector, focusing on solar and wind energy projects across India.
Sumitomo Mitsui Banking Corporation (SMBC) has been actively investing in Indian startups, particularly in the fintech and financial services sectors, through its corporate venture capital arm, the SMBC Asia Rising Fund. In November 2024, SMBC Asia Rising Fund led a $15 million investment in MODIFI, a fintech startup providing cross-border financing solutions for SMEs.
In the same month, SMBC co-led a $35 million funding round for Easy Home Finance, a Mumbai-based home loan startup. The investment is intended to expand the company's assets under management and support its growth in the home financing sector.
In September 2023, SMBC provided $60 million in debt funding to SATYA MicroCapital, a micro-lending firm focused on financial inclusion and empowering women entrepreneurs in India.
The SMBC Asia Rising Fund has also invested in M2P Fintech, a full-stack Banking-as-a-Service platform that powers over 200 banks and 800+ fintechs in 30+ countries.
SMBC currently operates in New Delhi, Mumbai and Chennai. In 2024, it expanded to Gujarat’s GIFT City, strengthening its corporate banking network across India.
