ICICI Bank on Friday said it has divested a 3.96 per cent stake in ICICI Lombard General Insurance Company for Rs 2,250 crore. Following this, the bank’s shareholding in the general insurer stands at around 51.9 per cent.

While announcing its results for the March quarter of 2020, the private sector lender had stated that it would look at further strengthening the balance sheet.

“Pursuant to the approval of its board, the bank has divested 18,000,000 equity shares of ICICI Lombard General Insurance Company,” ICICI Bank said in a communication to bourses.

Shares of the private sector lender finished 3.38 per cent, or Rs 11.90 higher, at Rs 363.90 on the BSE on the announcement.

ICICI Bank had reported a 26 per cent rise in standalone net profit at Rs 1,221.36 crore for the March quarter of 2020. The private sector bank had posted a net profit of Rs 969.06 crore in the same period of the previous year.

The quarter saw its provisions jumping almost three times on a sequential basis to Rs 5,967.44 crore from Rs 2,083.20 crore in the preceding three months. The provisions stood at Rs 5,451.41 crore in the year ago period.

There was good news on its asset quality front where absolute gross non-performing loans (NPAs) fell to Rs 41,409.16 crore compared with Rs 43.453.86 crore in the preceding three months.