HDFC AMC stock slides after RBIs nod to acquire up to 9.5% stake in Karur Vysya Bank and DCB Bank
The stock of HDFC AMC ended trading on Thursday down 0.72 per cent, or Rs 19.40, at Rs 2655.00 on a day when the RBI approved the mutual fund company to acquire up to 9.5 per cent stake in Karur Vysya Bank and DCB Bank each.
The stock of HDFC AMC ended the trading session on Thursday (September 21) down 0.72 per cent, or Rs 19.40, at Rs 2655.00 on a day when the RBI approved the mutual fund company to acquire up to 9.5 per cent stake in Karur Vysya Bank and DCB Bank each.
"The RBI has accorded its approval to HDFC Asset Management Company Ltd. (HDFC AMC) for acquiring aggregate holding of up to 9.5% of the paid-up share capital or voting rights of The Karur Vysya Bank Ltd. The approval has been granted with reference to the application made by HDFC AMC to RBI," Karur Vysya Bank said in a statement.
"The aforesaid approval granted by RBI is subject to the compliance with the relevant provisions of the Banking Regulation Act, 1949, RBI’s Master Direction and Guidelines on Acquisition and Holding of Shares or Voting Rights in Banking Companies dated January 16, 2023," the statement further read.
After the RBI's approval, the stock of Karur Vysya Bank rose as high as Rs 137.20 before closing the day up by 0.11 per cent, or Rs 0.15, at Rs 133.90, on BSE on Thursday morning.
HDFC AMC gets RBI's go-ahead for DCB Bank stake
HDFC AMC also got the RBI's approval for up to 9.5 per cent stake in DCB Bank.
"We would like to inform you that the Bank has received an intimation from RBI on September 20, 2023, that it has accorded its approval to HDFC Asset Management Company Limited (“AMC”) to acquire aggregate holding of up to 9.5% of the paid-up share capital or voting rights of the Bank," said DCB in a BSE filing on Thursday.
The statement further read, "AMC has been advised by the RBI to acquire the aforesaid major shareholding in the Bank within a period of one year from the date of approval.
After the development, the shares of DCB Bank traded in the positive territory throughout the day before closing the session up 1.61 per cent, or Rs 2.00, at Rs 126.05 on Thursday.
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