PNB Housing Finance could see a block deal worth Rs 500 crore in the coming days with information on the sellers of the stake not disclosed yet. The block deal is expected for the sale of 69.6 lakh shares of the company.
The floor price for the deal has been set at Rs 717 per share according to sources cited by CNBC Awaaz. This is at a discount of almost 9% over the current market price.
The shares of PNB Housing on Tuesday ended at Rs 788 on the NSE, down by Rs 10.85 or 1.36% from the Friday closing price.
Earlier this year, Singapore-based investor Investment Opportunities V had sold its entire 9.88% stake in the company for Rs 2,106 crore through an open market transaction.
The mortgage lender reported a net profit for the March quarter at Rs 439 crore which rose 57% year-on-year on account of lower credit cost even as its lending business expanded by a modest 10%. The net profit was Rs 279 crore in the year-ago period.
The lender’s net interest margin was lower at 3.65% in the fourth quarter to March 31, 2024 against 3.74% in the year ago period. Its net interest income rose 7% yearo-n-year at Rs 632 crore.
Operating profit for the quarter stood at Rs 566 crore against Rs 487 crore.
Its loan assets grew by 10% year-on-year to Rs 65,358 crore at the end of March, while retail loans grew by 14% to Rs 63,306 crore. PNB Housing Finance’s corporate loan book shrank 46% in FY24 to Rs 2,052 crore as it had tried to de-risk the portfolio.
“We have witnessed a remarkable improvement in the asset quality, which reduced by 57% year-on-year,” managing director Girish Kousgi said.
Its gross non-performing assets ratio stood at 1.5% at the end of March as compared with 3.83% a year ago.
Kousgi expressed optimism over better growth and profitability, given its planned expansion into the high yielding affordable housing segment and retail loan business. Its average ticket size for individual housing loans was Rs 29 lakh.
