Mortgage lender HDFC has sold 6.10 per cent stake in its subsidiary Gruh Finance, to comply with the RBI requirement for facilitating the proposed merger of the housing finance arm with Bandhan Bank.
The sale was carried out through stock exchanges at the prevailing market price.
The average price was Rs 260.07 apiece for shares sold on March 28 and Rs 310.126 apiece for shares sold on Friday (May 24), HDFC said in a regulatory filing.
The 6.10 per cent stake sold represents 4,47,86,774 equity shares of Gruh.
Break-up wise, HDFC had sold 1,22,00,000 shares (1.66 per cent) in March and the balance 3,25,86,774 shares (4.44 per cent) were sold on Friday.
Thus, HDFC has mopped up Rs 1,327.89 crore by selling the stake in Gruh Finance.
"The Corporation (HDFC) being a shareholder of Gruh is entitled to 14.96 per cent of post-amalgamation paid-up capital of Bandhan, based on the share exchange ratio. However, the RBI has directed the Corporation to hold 9.9 per cent or less of the paid-up capital of Bandhan, post the merger.
"In view of this, the Corporation is required to sell such number of shares in Gruh so as to be entitled to 9.9 per cent of the post amalgamation paid up capital of Bandhan," HDFC said.
Shares of HDFC closed 0.56 per cent higher at Rs 2,127.50 apiece on the BSE, while Gruh Finance was down 4.42 per cent at Rs 313.30.