Block Deals: Axis Bank’s 1.89 crore equity shares change hands during pre-open session today

Axis Bank shares changed hands in multiple deals during the pre-open session on the exchanges on Thursday.

According to Zee Business research, several deals of 1.89 crore equity shares changed hands during the pre-open session on the exchanges today. The deal constitutes 0.6 per cent equity, it added.

Bain Capital – a private investment firm, was expected to sell a 0.75 per cent stake in the company via a block deal. The offer price was likely in the Rs 964–Rs 977.70 range. According to Zee Business, the deal size is estimated to be Rs 2,192 crore.

The US-based investment firm is one of the minority shareholders in the private lender, with a total stake of 1.3 per cent as per the March 2023 shareholding pattern available on the BSE.

Axis Bank stock jumped more than 1 per cent to hit the day’s high level of Rs 988.15 apiece minutes after the market opened, however, it was flat with a negative bias as session progressed.

The stock was trading near its 52-week high of Rs 989.5 per share on the BSE.

In the last one year, Axis Bank shares have gained nearly 50 per cent as compared to over 19 per cent rise in the Nifty50. Year-to-date, the counter was up 3.5 per cent against 3 per cent jump in the benchmark index.

Axis Bank reported a one-time loss amid merger with Citi Bank’s India consumer business, ex of which it beat estimates, led by strong loan growth, healthy fee income and lower credit costs.

The bank’s net interest margins moderated marginally on account of excess liquidity on the balance sheet and catch-up in funding costs following accelerated deposit mobilization, HDFC Securities said in its report on the private lender.

The brokerage maintained a ‘buy’ rating with a target price of Rs 1,130 per share, implying 16 per cent upside in the stock from Wednesday’s closing.