Why HDFC twins hit record high today while Sensex slipped
HDFC Bank added 1.94 per cent to touch its lifetime high of Rs 2219.05, while HDFC gained 1.7 per cent to hit its fresh high of Rs 2023.90 on the BSE.
HDFC Bank and HDFC share prices hit their respective record highs on Wednesday after HDFC Bank said it has raised Rs 8,500 crore by issuing over 3.9 crore shares on preferential basis to its parent HDFC.
HDFC Bank added 1.94 per cent to touch its lifetime high of Rs 2219.05, while HDFC gained 1.7 per cent to hit its fresh high of Rs 2023.90 on the BSE. The rally came even as Sensex slipped 100 points in the noon trade after the opposition parties tabled a no-confidence motion against Prime Minister Narendra Modi-led BJP government.
"The share allotment committee of the bank at its meeting held on Tuesday has allotted 3,90,96,817 share to Housing Development Finance Corporation at an issue price of Rs 2,174.09 per equity share aggregating to Rs 84,99,99,98,871.53," HDFC Bank said in a regulatory filing.
This is part of the bank's Rs 24,000 crore fund raising plan that was approved by the board of directors in December.
Of this, Rs 8,500 was planned to be raised by issuing equity to HDFC on a preferential basis and the balance through issuance of equity shares or convertible securities or depository receipts to a qualified institutions placement or through ADR/GDR.
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As on June 30, 2018, the promoter firm HDFC Ltd held 20.86 per cent of the bank's equity capital.
Stock of the bank closed 0.34 per cent up at Rs 2176.70 on BSE.
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