Know What Federal Bank Said About A Merger With Kotak Mahindra Bank? Shares Up 8 Percent
Federal Bank's stock jumped 8 percent to 129.75 percent. At present, the stock is trading at Rs 123.50 with a gain of 3.30 percent.
Due to the news of the merger of private sector bank Federal Bank with Kotak Mahindra Bank (Federal Bank - Kotak Mahindra bank Merger), the shares of Federal Bank saw a tremendous rise. Federal Bank's stock jumped 8 percent to 129.75 percent. At present, the stock is trading at Rs 123.50 with a gain of 3.30 percent.
Federal Bank clarified
The news came in the morning that Federal Bank is in talks for a merger with Kotak Mahindra Bank, another private sector giant. However, Federal Bank has also presented its clarification on this news. Issuing a statement, Federal Bank said that the news of the merger with another bank is a complete rumor. The company has also informed the stock exchanges, that the company as of date does not have any such information which is required to be disclosed under SEBI regulations and which is having an impact on the share prices.
Shares rose 58 percent in one year
Federal Bank's stock has seen a tremendous jump in the last year. A year ago the stock was trading around Rs 78 which is now trading at Rs 123. That is, the stock has seen a jump of 58 percent in one year. So in 2022, the stock has gained 42 percent.
By the way, comparing both the banks, Federal Bank has 1272 bank branches across the country. The headquarter of the company is in Aluva, Kochi. There are 1931 bank branches of Kotak Mahindra Bank. In the first quarter of 2022-23, there was an increase of 8.14 percent in the interest income from Federal Bank and it increased from Rs 3355.71 crore to Rs 3628.86 crore. The net profit of the company has been Rs 600.66 crore.