HDFC Bank gains on share sale buzz

HDFC Bank rose 2.17% to Rs 965.90 at 15:04 IST on BSE on reports the bank plans to raise as much as Rs 10000 crore by selling shares to domestic and foreign investors.

Meanwhile, the BSE Sensex was up 365.03 points, or 1.36%, to 27,273.85.

On BSE, so far 1.59 lakh shares were traded in the counter, compared with an average volume of 1.81 lakh shares in the past one quarter.

The stock hit a high of Rs 969 and a low of Rs 948.90 so far during the day. The stock hit a record high of Rs 973.85 on 23 December 2014. The stock hit a 52-week low of Rs 618 on 4 February 2014.

The stock had outperformed the market over the past one month till 7 January 2015, rising 0.28% compared with 5.44% fall in the Sensex. The scrip had also outperformed the market in past one quarter, rising 9.62% as against Sensex's 2.42% rise.

The large-cap private sector bank has an equity capital of Rs 483.48 crore. Face value per share is Rs 2.

According to reports, HDFC Bank has appointed Bank of America-Merrill Lynch (BofA-ML) as the lead banker for its sale of shares to raise as much as Rs 10000 crore from domestic and foreign investors. Morgan Stanley, Credit Suisse and JP Morgan will help BofA-ML sell HDFC Bank shares to foreign investors and raise roughly Rs 7600 crore. BofA-ML will team up with JM Financial to sell another Rs 2400 crore worth of shares to local institutional investors, reports added.

HDFC Bank's net profit rose 20.1% to Rs 2381.46 crore on 16.4% rise in total income to Rs 13894.73 crore in Q2 September 2014 over Q2 September 2013.

Powered by Capital Market - Live News