RBL Bank gains 5.5%

RBL Bank is right there among the top five gainers on the BSE since the opening bell today; from its close of Rs.268.95, today the stock opened in morning, slightly higher at Rs.270.70 and rose to an intraday high at Rs.284.20, up 5.5%. Its 52-week high stands at Rs.293.55.

The stock price rose on its announcement late evening yesterday saying that RBI has accorded its approval to ICICI Prudential Asset Management Company (I-Pru AMC) and ICICI Prudential Life Insurance Company (“I-Pru Life”), to acquire aggregate holding of up to 9.95% of the paid-up share capital or voting rights in RBL Bank. The approval has been granted with reference to the application made by I-Pru AMC and IPru Life to RBI.

As per the RBI Letter, I-Pru AMC and I-Pru Life have been accorded the approval to acquire the aforesaid major shareholding in the Bank within a period of one year i.e. by December 26, 2024 and to ensure that the aggregate holding in the Bank does not exceed 9.95% of the paid-up share capital or voting rights of the Bank at all times.

Further in the event, if the aggregate holding falls below 5%, prior approval of RBI will be required to increase it to 5% or more of the paid-up share capital or voting rights of the Bank. ICICI group (including ICICI Prudential Life Insurance Co. Ltd and ICICI Prudential Asset Management Company Limited) held 2.08% of the equity share capital of the Bank as of December 22, 2023.