ICICI Bank gains as board approves stake sale in IBEL to Sovcombank

ICICI Bank rose 0.47% to Rs 361.15 at 10:00 IST on BSE after the bank said that the board of directors has approved a proposal for the sale of ICICI Bank's shareholding in ICICI Bank Eurasia Limited Liability Company to Sovcombank.

The announcement was made after trading hours on Friday, 5 December 2014.

Meanwhile, the BSE Sensex was down 7.82 points, or 0.03%, to 28,450.28.

On BSE, so far 45,125 shares were traded in the counter, compared with an average volume of 1.9 lakh shares in the past one quarter.

The stock hit a high of Rs 362.75 and a low of Rs 358.55 so far during the day. The stock hit a record high of Rs 366.30 on 4 December 2014. The stock hit a 52-week low of Rs 188.85 on 4 February 2014.

The stock had outperformed the market over the past one month till 5 December 2014, rising 7.47% compared with 1.94% rise in the Sensex. The scrip had also outperformed the market in past one quarter, gaining 16.08% as against Sensex's 5.3% rise.

The large-cap private sector bank has an equity capital of Rs 1157.94 crore. Face value per share is Rs 2.

ICICI Bank Eurasia Limited Liability Company (IBEL) is a non-material wholly-owned banking subsidiary of ICICI Bank in Russia. Sovcombank is an unrelated third party Russian bank. At 30 September 2014, IBEL had total assets of RUB 4.5 billion and paid-up equity capital of RUB 1.6 billion. IBEL's profit after tax in the six months ended 30 September 2014 was RUB 28 million. IBEL accounted for less than 0.1% of ICICI Bank's consolidated total assets at that date and consolidated profit after tax for the period.

The transaction is expected to conclude by the end of the financial year, ICICI Bank said.

ICICI Bank's net profit rose 15.2% to Rs 2709.01 crore on 14.7% rise in total income to Rs 14888.95 crore in Q2 September 2014 over Q2 September 2013.

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