Shares of frontline non-banking finance companies (NBFC’s) like Mahindra and Mahindra Financial Services, Bajaj Finserv, Reliance Capital, L&T Finance Holdings have rallied up to 8% in anticipation of getting banking licenses.
The Reserve Bank of India (RBI) in the final guidelines on new bank licences, which were released in February, aspirants are given time till 1 July for submitting the application along with a board approved business plan.
Entities in the private and public sector and NBFCs will be eligible to set up a bank through a wholly-owned Non-Operative Financial Holding Company (NOFHC), the RBI said. However, they need to have sound credentials, integrity and financials with a successful track record of 10 years.
Among the individual stocks, Mahindra & Mahindra Financial Services jumped nearly 8% to Rs 288, its record high on BSE.
JM Financial Services and L&T Finance Holdings are up 4% each at Rs 29.80 and Rs 80.65 respectively. Bajaj Finserv is up 2.5% at Rs 658 and Reliance Capital by 2% at Rs 348 at 1123 hours.
The Reserve Bank of India (RBI) in the final guidelines on new bank licences, which were released in February, aspirants are given time till 1 July for submitting the application along with a board approved business plan.
Entities in the private and public sector and NBFCs will be eligible to set up a bank through a wholly-owned Non-Operative Financial Holding Company (NOFHC), the RBI said. However, they need to have sound credentials, integrity and financials with a successful track record of 10 years.
Among the individual stocks, Mahindra & Mahindra Financial Services jumped nearly 8% to Rs 288, its record high on BSE.
JM Financial Services and L&T Finance Holdings are up 4% each at Rs 29.80 and Rs 80.65 respectively. Bajaj Finserv is up 2.5% at Rs 658 and Reliance Capital by 2% at Rs 348 at 1123 hours.
