In order to increase its shareholding in IndusInd Bank, the Hinduja Group is reportedly in talks to spend 10,000 crore.
According to Economic Times, Hinduja Group’s shareholding is projected to rise from 17% to 26%. By the second half of FY24, the deal should be finalized.
The shares of IndusInd Bank closed Friday’s trading session up 2.76 percent at 1,308.45 on BSE. The stock has increased 6.66% year to date, while it has increased 58.99%.
IndusInd International Holdings, a Hinduja Group company, received in-principle and conditional approval from the RBI earlier this year to increase its stake in IndusInd Bank to 26%.
As of the March quarter, IndusInd International Holdings owned 12.58% of IndusInd Bank, while IndusInd Ltd held 3.92%.
With a standalone net profit of 2,040.51 crore for the quarter ending in March, an rise of nearly 50% over the figure of 1,361.37 crore from the previous year, IndusInd Bank exceeded expectations set by the market.
Net interest income for the lender was 4,669.46 crore, an increase of 17% from the prior year.
The lender’s net interest income (NII) for the fourth quarter of FY23 climbed 17% to 4,669 crore over the same quarter in FY22.
For IndusInd Bank, provisions (other than taxes and contingencies) dropped as much as 29% to 1,030 crore during the March quarter. Over the same time last year, it was 1,461 crore.
In the January-March period, the gross non-performing assets (NPA) ratio declined to 1.98% from 2.06% sequentially and 2.27% in the year-ago quarter, indicating that the bank had a satisfactory quarter in terms of asset quality.
Source- Livemint
