Kotak Mahindra Bank trades firm on listing of new shares

Shares of Kotak Mahindra Bank are trading flat at Rs 1,373, recovering 1.5% from its early morning low on the National Stock Exchange (NSE), after new shares issued by the private sector lender on amalgamation of ING Vysya Bank were permitted for trade from today.

“The new securities of 139.21 million equity shares of Rs 5 each issued pursuant to the scheme of amalgamation of ING Vysya Bank with Kotak Mahindra Bank are listed and permitted for trading on the exchange with effect from Monday, April 27, 2015,” Kotak Mahindra Bank said in a notification to the BSE.

"These shares are ranking pari-passu with the existing equity shares of the company," it added.

Meanwhile, the stock of Kotak Mahindra Bank had already turned ex-scheme of amalgamation on April 16. It had issued of 725 equity shares of Rs 5 each of the bank for every 1000 equity shares of Rs 10 each held in ING Vyasa Bank.

Since April 15, the shares of Kotak Mahindra Bank have lost 5.4% compared to 5% decline in CNX Nifty and 3.8% drop in Bank Nifty. Today, the stock opened at Rs 1,369 and touched a high of Rs 1,384 on the NSE. A combined 132,127 shares changed hands on the counter on the NSE and BSE till 0953 hours.