Axis Bank shares fall over 2%; mcap drops Rs 2,763 cr

Shares of Axis Bank fell over 2 per cent today amid reports that the RBI has asked the company's board to re-consider the decision to re-appoint Shikha Sharma as its MD and CEO for a fourth term.

The company's market valuation declined by Rs 2,762.83 crore to Rs 1,27,853.17 crore on the BSE.

The stock dropped 2.20 per cent to end at Rs 498.20 apiece on the BSE. During the day, it lost 3.31 per cent to Rs 492.50 per share.

On the NSE too, the shares went down 2.24 per cent to settle at Rs 499.05 apiece.

In terms of equity volume, 4.17 lakh shares of the company were traded on the BSE and over 71 lakh shares changed hands on the NSE.

The scrip is part of the benchmark Sensex index.

The RBI has asked Axis Bank's board to re-consider the decision to re-appoint Shikha Sharma as its MD and CEO for a fourth term, amid concerns over rising bad loans at the country's third largest private sector lender, sources said.

"We wish to inform you that the bank's board follows a standard process with regard to senior appointments, and forwards its recommendations to the regulator (to the extent required). This process is currently in progress," Axis Bank said in a statement today.