Meet Uday Kotak: The billionaire face behind Kotak Mahindra Bank

An inspiring journey from a small discounting firm to one of the largest banks.

Banking sector in India has become more efficient and resilient than ever, thanks to RBI and fiscal policies, and the rise of the private sector. Although PSU banks have outperformed private banks in the past year, some of the top private banks too, have performed strongly. One such bank is Kotak Mahindra Bank, which in 2003 became the first non-banking finance company to receive a banking license from RBI in Indian corporate history. This was possible because of a visionary man - Uday Kotak, an Indian self-made billionaire, founder and managing director of Kotak Mahindra Bank. According to Forbes list, he is currently the eighth richest person in India and has a net worth of about Rs 1.12 lakh crore. 

From a bill discounting firm to one of the largest private banks of India, Uday Kotak’s journey is inspiring. His talent in maths got him into good colleges. He completed a bachelor’s degree from Sydenham College of Mumbai and post-graduation from JBIMS Mumbai. 

At the young age of 23, declining the job offer from HUL, he started a small finance firm called Kotak Capital Management Finance Ltd, which was engaged in bill discounting business. He borrowed capital from friends to start the business. One of his friends was Anand Mahindra, who is currently the chairperson of Mahindra Group. In 1995, he ventured into the brokerage and distribution business. Eventually, he explored other areas such as investment banking, car insurance, and mutual funds. 

After getting a banking license in 2003, his wealth grew by leaps and bounds as the market capitalization of the company grew substantially over a while. Today, the company is the fourth largest private bank in India with a market cap of whopping Rs 3.65 lakh crore.