Punjab National Bank sells its entire stake in Icra for Rs109 crore

Industry:    2018-06-30

Punjab National Bank has sold its entire stake in ratings firm Icra Ltd for a consideration of Rs109 crore.

“The bank has sold its entire stake of 3,30,000 shares of Icra Ltd through block deal at exchange platform for gross sale consideration of Rs108.60 crore on June 28, 2018,” the bank said in a regulatory filing.

As a planned strategy, the state-owned lender wants to hive-off from non-core businesses. Among others, the board of directors has authorised its management to start taking decisions to divest stake in PNB Housing Finance, Crisil and BSE at appropriate time depending upon market conditions and available options.

The disinvestment is part of the reforms agenda of the public sector banks (PSBs) which was approved in January for responsive and responsible PSBs initiative.

At the end of March quarter, PNB held 3.43% stake in Icra. In PNB Housing Finance, which is promoted by the bank, it held 32.96% as on 31 March, 2018.

In Crisil and BSE Ltd, banks and financial institutions have a collective shareholding of 0.26% and 0.09%, respectively, as on 31 March, 2018.

Stock of PNB closed 3.69% higher at Rs75.95 apiece on the BSE on Friday.

print
Source: