Shares of Federal Bank on Tuesday ended in the green in an otherwise volatile market on reports that ICICI Prudential Mutual Fund is looking to acquire an additional 5 per cent stake in the private sector lender.
As on March 31, 2021, the fund house held a 4.8 per cent stake, or 9,52,64,974 shares, of the Kerala-based lender.
A report in CNBC TV-18 on Tuesday said that ICICI Prudential MF has submitted a proposal to pick up another 5 per cent in Federal Bank with the Reserve Bank of India (RBI) in this regard.
An approval from the banking regulator is required if an entity seeks to acquire more than 5 per cent in a private sector bank with a cap of 10 per cent.
On the BSE on Tuesday, shares of Federal Bank ended with gains of 0.46 per cent at Rs 86.85. It has a market cap of over Rs 17,300 crore.
