(Reuters) -Blackstone will invest about $705 million in India's Federal Bank for a 9.9% stake, the private lender said on Friday, adding to the growing list of large deals by marquee investors. The deal will make the private equity firm the largest shareholder in the bank. Dealmaking in Indian private banking space has picked up pace this year. Last week, Dubai-based bank Emirates NBD purchased a 60% stake in RBL Bank for $3 billion. Japan’s Sumitomo Mitsui Banking Corporation bought a 20% stake in Yes Bank in May and then an additional 4.2% in September. Blackstone will invest in Federal Bank through a Singapore-based affiliate that has entered a share-purchase agreement with the bank, which includes the right to nominate a non-executive director to its board. The deal will be executed th

See Full Page