20UBA541

MUTHU RAM A
Who is Uday Kotak ?
• Uday Kotak, The ‘nationalist’ banker is an
Indian billionaire banker, and the founder and
managing director of Kotak Mahindra Bank.
• Here are a few insights into the success story
of Uday Kotak, Founder, Chief Executive
Officer (CEO) and Executive Vice Chairman
of Kotak Mahindra Bank, an Indian private
sector bank.
Early life & Education
• Uday Kotak was born 15 March 1959 to Ramesh Kotak
and his wife in an upper-middle-class Gujarati Lohana
joint-family in Mumbai, which was into the cotton trading
business.
• Uday was raised in a joint-family household with 60
persons under one roof in a large house in Babulnath.
• Kotak completed his schooling in Hindi Vidya Bhavan.
Uday completed his college and received his B.com degree
from Sydenham College of Commerce and Economics.
• He obtained his post-graduation (M.com) degree from the
Jamnalal Bajaj Institute of Management Studies.
Life as a Cricketer
• Since his childhood, he was passionate about cricket and also
passionate about mathematics.
• Uday has held the cricket teams’ captainship in school and college.
Kotak played the Kanga League in Mumbai.
• He wanted to build his career as a cricketer. Uday was a good
cricketer—a left-hand spinner and a right-hand batsman.
• His contentment towards cricket made him determined to even
pursue a career in cricket. In September 1979, the ball hit his head
when he was running between the wickets at the Kanga League held
in Azad Maidan, Mumbai, and immediate surgery to stop the brain
hemorrhage and left him bed-ridden for few months
• The incident not only cost him a year but also marked the end of his
cricket dreams. Due to fatal accidents during his college days, Uday
missed a year at the Jamnalal Bajaj Institute of Management.
Entrepreneur Journey begins…
• After completing his MBA, Kotak was set to join Hindustan
Unilever, an Indian subsidiary of the multinational consumer
goods company (FMCG Company).
• Then he decided to try his hands at business, Uday joined his
family business where he would have to deal with family
members. Uday was always very keen on finance. He was no
longer interested to continue with it.
• While doing his MBA, Kotak decided to start out on his own,
in the early 1980s, on his father’s insistence, Kotak started his
own small financial agency at Navsari building premise from
a 300 sq. ft. office space that his father offered him and said:
“Son, you do what you want.”
Entrepreneur Journey begins…
• Uday started his finance and bill discounting business with a
seed capital borrowed from family and friends. The major part
of investment comes from his best friend Anand Mahindra.
Therefore the financial agency was named Kotak Mahindra.
• Uday provided financial support to business organizations
including Nelco, a Tata subsidiary at minimal interest rates.
He charged low-interest rates to business organizations
compared to banks.
• After getting huge success, Uday decided to establish
something big. At the age of 23, Uday initiated Kotak Capital
Management Finance Ltd, a financial consultancy, which later
became Kotak Mahindra Finance Ltd.
Career of Uday Kotak
• Over the next few years, Kotak diversified his
financial consultancy business into various
areas of financial services, establishing a
prominent presence in investment banking,
bills discounting, stockbroking, mutual funds,
life insurance, and car finance.
Uday Kotak: eminent as a self-made
billionaire banker
• On 22 March 2003, Kotak Mahindra Finance Ltd
received a banking license from Reserve Bank of
India. In India’s corporate history, this is the first
non-banking finance company in India who
received a banking license and transform into a
bank from a non-banking finance company.
• Kotak collected ₹ 30 lakh to start an NBFC in 1980
for bill discounting. His investment in Hutchison
Essar of ₹ 2 crore investment in 1998 fetched him
₹ 1,019 crores in 2006.
Kotak Mahindra Bank – a story of evolution

• Kotak Mahindra Bank has evolved to provide several

financial assistance such as asset reconstruction,
commercial banking, mutual funds, investment banking,
insurance, and more.
• In 2014, Kotak converted a bill-discounting business into
a financial services conglomerate and become the 2nd
largest scheduled commercial bank in India by market
capitalization with more than 1270 branches.
• In 2015, Kotak Mahindra Bank had partnered with the
telco-giant Airtel and ventured into general insurance to
start a small payments bank.
Achievement and awards:
Uday Kotak has been honored with many prestigious awards
for his achievements throughout his entrepreneurial journey.

• 2014 – Named Ernst & Young World Entrepreneur.

• 2014 – Become chairman of IL&FS.
• 2015 – Sole Indian Financier to feature in Money Masters
• 2016 – Most Powerful People in The Financial World.
• 2017 – Ranked 8th in India’s 50 most powerful people.
• 2017 – Businessman of the year by Economic Times.
• 2018 – Named “Best CEOs in the World”
• 2018 – E&Y World Entrepreneur
• 2019 – CNBC Innovator of the Year
• 2019 – One of the most highly paid CEO among the Indian banks.
Conclusion

• Uday Kotak with his determination and hard

work has emerged as a successful banker. It is
estimated that this successful entrepreneur and
Indian banker is blessed with a net worth of
around 10 billion USD.