CSB Bank promoter likely to sell 9.72% stake for Rs 595 cr via block deallive bse livense live Volume Todays L/H More ×FIH Mauritius Investments Ltd, which currently holds a 49.72% stake in the Thrissur, Kerala-based private lender CSB Bank, is likely to sell 9.72 percent stake via block deal, sources told CNBC-Awaaz on June 26.
Story continues below Advertisement Remove AdThe promoter will sell 1.68 crore shares through the block deal for which IIFL is the broker, the channel reported.
Post stake sale, FIH Mauritius will hold 40 percent stake in CSB Bank.
During the quarter, the bank's total income increased to Rs 991 crore against Rs 762 crore a year ago, CSB Bank said in a regulatory filing.
The interest income grew to Rs 795 crore during the period under review from Rs 636 crore in the corresponding quarter a year ago.
CSB Bank promoter likely to sell 9.72% stake for Rs 595 cr via block deal
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FIH Mauritius Investments Ltd, which currently holds a 49.72% stake in the Thrissur, Kerala-based private lender CSB Bank, is likely to sell 9.72 percent stake via block deal, sources told CNBC-Awaaz on June 26.
FIH Mauritius Investments is likely to raise 595 crore through block deal at floor price of Rs 352.4 per share, which implies 1 percent discount from current market price.
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The promoter will sell 1.68 crore shares through the block deal for which IIFL is the broker, the channel reported.
Post stake sale, FIH Mauritius will hold 40 percent stake in CSB Bank.
The promoter of CSB Bank had received approval from the Reserve Bank of India to retain a 26 percent stake in the lender, instead of 15 percent as advised by the central bank earlier, CSB said in November 2023.
The RBI earlier required promoters of banks to reduce their shareholding to 15 percent to ensure these institutions are widely held.
However, following a legal battle with Uday Kotak, the promoter of Kotak Mahindra Bank, the regulator permitted promoters to retain up to 26 percent in banks.
CSB Bank reported a 3 percent decline in its net profit to Rs 151 crore for the fourth quarter ended March 2024, mainly due to a rise in bad loans.
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The Kerala-based lender had earned a net profit of Rs 156 crore in the year-ago period.
During the quarter, the bank's total income increased to Rs 991 crore against Rs 762 crore a year ago, CSB Bank said in a regulatory filing.
The interest income grew to Rs 795 crore during the period under review from Rs 636 crore in the corresponding quarter a year ago.
On the asset quality side, the bank's gross non-performing assets (NPAs) rose to 1.47 percent of gross advances as of March 31, 2024, from 1.26 percent at the end of March 2023.
