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IDFC gains as RBI approves demerger

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Capital Market
Last Updated : Jan 28 2015 | 7:15 PM IST

IDFC rose 0.95% to Rs 174.60 at 14:00 IST on BSE after the Reserve Bank of India has granted no objection to the proposed scheme of arrangement between IDFC and IDFC Bank and their respective shareholders and creditors.

The announcement was made during market hours today, 28 January 2015.

Meanwhile, the S&P BSE Sensex was down 29.32 points or 0.10% at 29,529.08.

On BSE, so far 12.28 lakh shares were traded in the counter as against average daily volume of 8.59 lakh shares in the past one quarter.

The stock hit a high of Rs 177.80, also a 52-week high for the stock. The stock hit a low of Rs 174 so far during the day. The stock had hit a 52-week low of Rs 88.10 on 4 February 2014.

The stock had outperformed the market over the past one month till 27 January 2015, rising 11.87% compared with Sensex's 8.55% rise. The scrip had also outperformed the market in past one quarter, jumping 20.02% as against Sensex's 10.53% rise.

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The large-cap lending institution has equity capital of Rs 1591 crore. Face value per share is Rs 10.

IDFC said that the Reserve Bank of India (RBI) has granted no objection to the proposed scheme of arrangement between IDFC and IDFC Bank and their respective shareholders and creditors under Section 391 to 394 of Companies Act, 1956.

In 2014, IDFC along with Bandhan Financial Services Pvt. Ltd received a licence from RBI to start new banks. In October 2014, IDFC had said it will transfer its lending business including project finance, fixed income and treasury into a new step-down subsidiary called IDFC Bank.

IDFC's consolidated net profit fell 13.4% to Rs 421.40 crore on 15.7% rise in total income to Rs 2487.46 crore in Q2 September 2014 over Q2 September 2013.

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First Published: Jan 28 2015 | 2:02 PM IST

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