IndusInd Bank shares rise 3?ter Sebi grants promoters extension

IndusInd Bank shares rise 3?ter Sebi grants promoters extension

Shares of IndusInd Bank rose almost 3 percent in morning trade on BSE on December 17, a day after it said Sebi granted an extension to promoters to infuse capital.

In a regulatory filing on December 16, IndusInd Bank said Sebi has granted a one-month extension for its promoters to infuse residual capital in lieu of conversion of warrants, issued to them last year, worth over Rs 2,695 crore into equity.

IndusInd Bank had issued convertible warrants to its promoters--IndusInd International Holdings ltd (IIHL) and its subsidiary IndusInd Ltd (IL) on July 6, 2019, under the composite scheme of arrangement for a total amount of Rs 2,695.26 crore for 1,57,70,985 share warrants.

The promoters had paid Rs 673.82 crore towards warrant subscription for the price -- 25 percent of the warrant price of Rs 1,709 per share.

Global financial firm Morgan Stanley has an 'equal-weight' call on the stock with a target price of Rs 710.