The offer for sale will see 4.65 crore shares of Axis Bank go on the block on November 10 and 11, at a floor price of Rs 830.63 per share.
On Nov 1, Bain Capital offloaded a 0.54% stake in Axis Bank (Representative image)
The government has decided to sell the 1.55 per cent stake in Axis Bank held by SUUTI on exchanges. The development, first reported by CNBC-Awaaz, and later confirmed via a regulatory filing, will see 4.65 crore shares of the private lender go on the block on November 10 and 11, at a floor price of Rs 830.63 per share.
This stake sale will be conducted via the Offer For Sale (OFS) mechanism by the Specified Undertaking of The Unit Trust of India, commonly known as SUUTI. CNBC-Awaaz also reported that the entire divestment proceeding will be allocated to the government.
On the first day of the offer, on November 10, only non-retail investors will be allowed to place their bids. On November 11, only retail investors will be allowed to submit bids, the exchange filing said.
ICICI Securities, Citigroup Global Markets India and Morgan Stanley India will be acting as brokers on behalf of the seller, it added.
A week earlier, US-based private equity major Bain Capital offloaded a 0.54 percent stake in Axis Bank for Rs 1,487 crore through open market transaction.
Axis Bank, notably, recorded a strong performance in the September 2022 quarter, with its net profit rising 70 percent on-year to Rs 5,330 crore. The lender's net interest income went up by 31 percent YoY to Rs 10,360.3 crore, and the net interest margin had came in at 3.96 percent, which was a rise of 57 bps YoY.
Shares of the bank on November 9 closed at Rs 874.35 at the BSE, which was marginally higher by 0.17 percent as compared to the previous day's close.Govt to sell SUUTI's 1.55% stake in Axis Bank via OFS on November 10-11 - Moneycontrol
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