Why This Tata Fund-Backed Midcap Stock Is Rocketing 8% Today

Shares of PNB Housing surged up over 8.2% on Monday morning to hit an intraday high of ₹688.

What Happened: Shares of the lender are surging today as it announced the recovery of a major non-performing asset. On Saturday (Aug 19), PNB Housing informed the exchanges has successfully resolved and fully recovered its large corporate Non-Performing account of ₹784 crore.

See Also: Why This Tata Stock Is Upbeat Today

The recovery was done through a sale to an asset reconstruction company under the Swiss Challenge
method as per the Reserve Bank of India. As on 30th June 2023, the Gross NPA of the Company stood at ₹2,270 crore (3.76% of Loan Asset) and Loan Asset was ₹60,395 crore.

The announcement helped the Tata Mutual Fund-backed stock continue its bull run. Since the start of the year, the stock has gone up over 40%. The mutual fund owns a 2.32% stake in the company.

Price Action: PNB Housing’s share price was up 6.79% to trade at ₹678.50 shortly after the markets opened on Monday.

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