Can Fin Homes stock falls up to 8% after Canara Bank calls off divestment process

The Can Fin Homes stock fell up to 8% in early trade after its parent Canara Bank decided to call off the divestment process of its entire stake in the subsidiary. At 10:48 am, the stock was trading 6.22% or 30.15 points lower at 454.90 on BSE.

The stock hit an intra-day low of 445.95 or 8 percent lower within minutes of opening on BSE. It opened at 465.80 level. The firm's market cap stood at Rs 6,070.50 crore on BSE.

"Since the quote received is not in tune with the valuation, Canara Bank has decided to call off divestment process of its entire stake in Canfin Homes Ltd (CFHL), which was under process," Canara Bank said in a regulatory filing.

In December 2017, Canara Bank informed stock exchanges that it will offload 4 per cent stake in Canfin Homes Ltd (CFHL). After the transaction, the bank's holding in CFHL would have reduced to 26 per cent.

However, later it informed that it has not accepted bids from empanelled merchant bankers and it will divest its entire stake in the company.

Can Fin Homes has a pan India network of 132 branches, 20 affordable Housing Loan Centres (AHLCs) and 20 satellite offices with customer base of over 1.2 lakh.

The firm was incorporated in the year 1987 and is engaged in the business of providing finance for housing in the country.

It offers a range of loan products, housing loans as well as non-housing loans to the customers.