Canada-based Fairfax India Holdings Corp. plans to reduce its stake in India's CSB Bank Ltd., formerly known as Catholic Syrian Bank Ltd., down to 15% over the course of 15 years, The Hindu reported Aug. 13, citing sources.

Fairfax India, which currently holds a 51% stake in CSB Bank, plans to cut its stake to 40% over the next five years, according to a plan submitted to the Indian central bank.

The company will then further reduce its shareholding to 30% over another five years and will cut another 15% stake over the following five years.

The move comes after the Indian lender filed a draft red herring prospectus for the IPO with the Securities and Exchange Board of India.