Customers Bancorp Inc. of Wyomissing and Religare Enterprises Limited, a financial services group in India, will form a business collaboration, with Customers Bank investing $51 million, the company said.
The bank plans to invest $51 million over the next 18 months as Religare applies for a banking license in India.
The investment will be used to buy shares, both directly from Religare and separately from a promoter of the company, and to buy warrants.
“This is an opportunity that came along,” James Hogan, Customer Bancorp’s chief financial officer, said this morning. “We can provide U.S. banking to their customers. We will be a small investor in this organization.”
The collaboration will allow Religare to apply for a banking license, which could take several months.
“We think this will be a very attractive opportunity to serve additional customers,” Hogan said. “We think the entire Indian population is underserved in banking.”
Hogan said Customers Bank plans to set up a small group, most likely at the bank’s corporate office, catering to professionals from Southeast Asia and businesses that want to take advantage of opportunities in Southeast Asia.