Axis Bank surged 13.06% at Rs 386 on media reports that Carlyle Group may invest $1 billion in the private lender.
The media reported that private equity major Carlyle has started talks with Axis Bank to pump in around a billion dollars as growing systemic level stress and the economic slump are pushing banks and shadow lenders to create provision cushions to deal with future asset slippages. The reports added that the deal is likely to be in the form of primary issuance of shares via a preferential allotment route that may result in Carlyle owning up to 8% stake in Axis Bank.
However, Axis Bank clarified to the bourses today that the news item is speculative and it has not taken any decision in this regard. "As such no disclosure is required to be made under regulation 30 of the listing regulations and the Bank shall keep the exchange duly informed as and when any decision is taken by it in this matter, it said in the BSE filing.
Axis Bank is the third largest private sector bank in India. The bank offers the entire spectrum of services to customer segments covering large and mid-corporates, SME, agriculture and retail businesses. It has 4,800 branches, 17,801 ATMs and 4,917 cash recyclers spread across the country as of 31 March 2020 and nine international offices.
The private lender reported a net loss of Rs 1,387.78 crore in Q4 March 2020 compared with net profit of Rs 1,505.06 crore in Q4 March 2019. Total income rose 10% to Rs 20,219 crore in Q4 March 2020 over Q4 March 2019.
Powered by Capital Market - Live News
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)