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HomeMarket NewsRBL Bank shares witness profit booking after 12% surge post Emirates-NBD deal
RBL Bank also also reported its September quarter results over the weekend, with its net interest income (NII) being largely in-line with estimates, led by marginal expansion in net interest margin (NIM), which increased by 1 basis point sequentially to 4.51%.
Shares of RBL Bank Ltd. witnessed profit booking on Thursday, October 23, after gaining nearly 12% in lights of the Emirates NBD deal. The stock has declined in three out of the last four trading sessions.
Shares had risen 10% on Monday after Emirates NBD Bank has announced that it will be investing up to ₹26,853 crore (approximately $3 billion) to acquire up to 60% stake in the private lender.
The investment will be via preferential equity issuance at ₹280 per share, with the lender's board approving the issuance and allotment of 96 crore new equity shares.
RBL Bank also also reported its September quarter results over the weekend
, with its net interest income (NII) being largely in-line with estimates, led by marginal expansion in net interest margin (NIM), which increased by 1 basis point sequentially to 4.51%.
Its pre-provision operating profit (PPOP) growth was aided by a moderation in operating expenses. However, higher provision during the September quarter weighed on profitability, resulting in a 20% decline in profit after tax (PAT) compared to the previous year.
The stock is also out of the F&O ban, which means that new positions can be created in the stock.
On Thursday, the stock declined 3.3% to hit an intraday low of ₹313.9 apiece. The stock was down 2.2% lower at ₹317.55 apiece around 12.10 PM. The stock has gained 4.5% in the last five trade sessions, 18.2% in the past month, 65.9% in the last six months and 101.5% this year, so far.
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