per regulations Novatti will need to reduce its stake down to...

per regulations Novatti will need to reduce its stake down to 20% or less.

A 20 per cent ownership cap for financial sector companies exists in Australia to increase financial stability by limiting ties between an institution and the finances of any particular investor and their associates. Given the importance of ADIs to Australia’s economic wellbeing, the ownership cap also prevents any person from accumulating large amounts of power in the financial system.

However, I also don't think NOV will be 'selling down/cashing out' their equity in the bank from 91% to 20% (and receiving a short term cash inflow to NOV) with the bank remaining the same size. But rather, the bank taking on new funding (raising capital) and thus diluting NOVs stake down to 20% or less but the bank becoming larger. (thats my take)

investors had committed to money for the bank but it was pending approval of the RADI. Peter confirmed these investors were still on board despite the RADI delays, these agreements were being continually extended up until the time of RADI.

NOV has previously announced for example- Commitments for the Series A funding are now in place subject to the bank licence being issued by 30 June 2022. <-- these were extended because of the approval delays.

Series A funding original ASX announcement - 7 Oct 2021

suspect there will be more funding rounds series B,C etc until were holding 20% or less as required.

as you would be aware since the 7 Oct 2021 announcement NOV increased their stake in the bank subsidiary from 70% to 91% in the lead up to the approval.