ICICI Bank share price gained a percent in morning trade on August 27 after the private sector lender said it plans to sell up to 2 percent of its holding in ICICI Securities through an open market transaction.
The stock price was trading at Rs 392.15, up Rs 2.80, or 0.72 percent. It has touched an intraday high of Rs 394.25 and an intraday low of Rs 388.20.
"The Board of Directors of the bank, at its meeting held today, approved the sale of up to 6,442,000 equity shares of face value Rs 5 each of ICICI Securities Limited (company), representing up to 2 percent of its issued and paid-up equity share capital, through an open market sale," ICICI Bank said in a regulatory filing.
The sale is in accordance with the requirement of minimum public float of the company, the private sector lender said.
ICICI Securities Limited (I-Sec) is a subsidiary of ICICI Bank. It offers services like broking, distribution of financial products, wealth management and investment banking.
As of June 30, 2020, ICICI Bank held 79.22 percent equity holding (25,52,16,095 shares) in ICICI Securities, as per data on BSE.As per Sebi norms, once a company is listed, its promoters are required to bring down their shareholding to 75 percent within a stipulated period to meet the minimum public float requirement of 25 percent.