Shares of the lender in the private sector Bandhan Bank refueled on Monday after the Reserve Bank of India (RBI) decided to freeze the remuneration of its chief executive officer and managing director and hamper the expansion of branches after the lender was unable to pay. to the license standards for reducing the promoter's efforts.
Bandhan Bank was closed on the lower 20% circuit on Monday, with the shares losing £ 112.80 to close at ₹ 120.20. In August, the shares of Bandhan Bank had reached a high point in 52 weeks of ₹ 741 and since then they have lost almost 40%.
This is much higher than the decline in the Sensex benchmark, which lost less than 4% in the same period.
According to licensing standards, Bandhan Bank was given the mandate to reduce the shareholding of promoters to 40% within three years after the start of the operation. The promoter of Bandhan Bank, Bandhan Financial Holdings, still holds more than 80%, even after three years of activities. The bank will be operational from 23 August 2015.
Kotak Mahindra Bank
Another private sector lender, the Kotak Mahindra Bank, which also reduced the promoters' interest to 20% by about 30% by December 2018, also fell by more than 12% during the morning session, but managed to make the most losses. to make.
Shares in the private sector lending hit a low within the day of ₹ 1,002.30, before the closing on ₹ 1,244.45, a decrease of 1.67% or ₹ 19.05 compared with Friday's closing of ₹ 1,143.50.