Share price of Kotak Mahindra Bank gained 2 percent intraday on April 20 after the bank said its board will deliberate on a fundraising plan later this week, which can possibly help promoter group led by Uday Kotak cut its stake.
The Mumbai-headquartered bank's board will meet on Wednesday to consider capital raising either through a follow-on public offer, private placement, qualified institutional placement (QIP) of shares or a combination of the routes, it said in a regulatory filing to the bourses.
In a recent report, global ratings agency Standard & Poor's had said Kotak Mahnidra Bank can weather the challenges that will be posed by the infections and affirmed its rating on the lender. It reaffirmed rating outlook on bank at BBB-/ A-3 with a stable outlook.
"The bank will be able to withstand our current expectations of a deterioration in operating conditions over the next 12-24 months. This is due to its above-industry-average risk management, earnings and capitalisation buffers, and improving funding profile," the rating agency had said.
It was quoting at Rs 1,203.40, up Rs 16.95, or 1.43 percent. It has touched an intraday high of Rs 1,224.50 and an intraday low of Rs 1,198.60.
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