Share of State Bank of India fell over 6% in Thursday's trade and ended as top Sensex loser after Supreme Court asked Indian telecom operators, including Vodafone Idea, Bharti Airtel and others, to submit an undertaking before the apex court in five days regarding the roadmap for clearing the dues.
In April, SBI chairman Rajnish Kumar had said that State Bank of India (SBI) has nearly Rs 29,000 crore loan exposure to the telecom sector, the highest among Indian banks.
SBI stock touched an intraday low of Rs 176.4, falling 6.07% on BSE today, as against the last closing price of Rs 187.80.
The stock trades higher than 20 and 50-day but lower than 5, 100 and 200-day moving averages.
In a related development, SBI announced that it was looking to raise up to $1.5 billion through a private placement of secured noted during FY21. The executive committee of the Central Board of the bank approved the plan in its meeting, the lender said.
"Executive committee of the Central Board in its meeting held on 11 June 2020 has approved long term fundraising in single/ multiple tranches up to USD 1.5 billion under Reg-S/144A through a public offer and/ or private placement of senior unsecured notes in US Dollar or any other convertible currency during FY 2020-21," SBI said in a BSE filing today.
Recently, State Bank of India has also invited applications for the post of Chief Financial Officer (CFO), offering an annual package of up to Rs 1 crore, which is three times more than that of the chairman.
The bank also informed the stock exchanges earlier on June 9, 2020 that it will be holding a virtual general meeting of its shareholders on June 17 to elect four directors to the bank's board from a list of five candidates.
Shares of SBI closed 5.64% or 10.60 points lower at Rs 177.