GQG Partners, a US-based investment firm, on Monday bought over 5 crore shares from IDFC First Bank's Managing Director (MD) and Chief Executive Officer (CEO) V Vaidyanathan. The exchange occurred at a price of Rs 94.5 per share, according to available data. The number of shares that exchanged hands amount to 0.8 percent of the total equity of the company.

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Notably, the share sale proceeds are entirely reinvested in the bank, dispelling any concerns of personal consumption, as confirmed by V Vaidyanathan in an exclusive conversation with CNBC-TV18.

Furthermore, this transaction follows the recent news of IDFC First Bank needing to pay Rs 229 crore to IDFC Bank to subscribe to stock options. After Monday's sale, Vaidyanathan maintains a little over 1.04 percent stake in the bank.

Last week too, GQG Partners, with a significant presence in Adani Group stocks, acquired a 2.6 percent stake in IDFC First Bank for Rs 1,527 crore. Additionally, Cloverdell Investment, the largest public shareholder in IDFC First Bank, offloaded a 4.2 percent stake at an average price of Rs 89 last week. As of the June quarter, Cloverdell held 7.12 percent stake in the bank.

The announcement confirmed a CNBC-TV18 newsbreak which had reported on the dealing room chatter about a large HNI acquiring stake in the lender.

In the wake of these transactions, shares of IDFC First Bank are trading 1.4 percent higher at Rs 96.70.

(Edited by : Anshul)

First Published:Sept 11, 2023 9:22 AM IST