Axis Bank dips as government offloads entire 1.55% stake

Axis Bank Share Price: Axis Bank stocks traded lower on Thursday, November 10, as Street sentiment turned negative on the back of stake sell by the government and weak trend in domestic market. The stock opened at Rs 843.70 apiece on NSE, falling more than 3 per cent to emerge as one of the top Nifty50 losers. At 10:50 AM, the counter quoted Rs 849.

The Specified Undertaking of the Unit Trust of India (SUUTI), under the union government, has offloaded 4,65,34,903 shares, representing 1.55 per cent stake in the private lender. With this sell, the government has now completely exited the lender.

According to Zee Business panellist Kiran Jadhav, the crucial level in Axis Bank is Rs 860. He said that if the scrip closes above Rs 860, the next target would be Rs 900. If the stock fails to hold Rs 860, the counter could test Rs 835/820.

Click here to know more about Axis Bank Offer for sale

“The Seller proposes to sell up to 4,65,34,903 Equity Shares of the Company, ("Offered Shares" representing up to 1.55% of the total issued and paid up equity share capital of the Company as on September 30, 2022, excluding Equity shares underlying depository receipts) ("Base Offer Size") (held in dematerialized form in one or more demat accounts with the relevant depository participant), on November 10, 2022, ("T day") (for non-Retail Investors only) and on November 11, 2022 (“T+1 day”) (for Retail Investors and for non-Retail Investors, including who choose to carry forward their un-allocated bids) through a separate, designated window of the BSE Limited (the “BSE") and the National Stock Exchange of India Limited ("NSE", and together with the BSE, the “Stock Exchanges”), in accordance with the OFS Guidelines (such offer for sale hereinafter referred to as the “Offer"), the regulatory filing read. 

In May last year, the government had sold of 1.95 per cent stake in Axis Bank held through SUUTI for a consideration of about Rs 4,000 crore.

Axis Bank is the third largest private lender in the country. Its stock has yielded a positive return of around 10 per cent in the past one month. In 2022 so far, the stock has gained 20 per cent. 

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