Shares of Equitas Small Finance Bank were gaining on Thursday after the Reserve Bank of India gave an HDFC fund approval to invest in the microfinance lender.
What Happened: The bank said in an exchange filing that HDFC Asset Management Company Limited had been granted approval by the central bank to buy a stake in the firm.
HDFC Asset Management Company can acquire an “aggregate holding” of up to 9.5% of the paid-up equity capital or voting rights of the small finance lender, which would be worth a little under ₹900 crore at Equitas’ current market cap.
See Also: WhatsApp Finally Embraces The iPad: Here’s What You Need To Know
According to the latest shareholding data, ace investor Ashish Dhawan holds a 3.63% stake in the microfinance lender. Other notable investors in the lender include the Government Of Singapore, Societe Generale – Odi and the Massachusetts Institute Of Technology.
Price Action: Equitas Small Finance Bank’s share price was up 1.73% at ₹85.30 around noon on Thursday. The stock has gained nearly 42% so far this year.
Read Next: Why This Mukul Agrawal-Backed Small Cap Stock Is Up 6% Today
Don't miss a beat on the share market. Get real-time updates on top stock movers and trading ideas on Benzinga India Telegram channel.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.