The share price of HDFC Bank declined as much as 2.94 percent to Rs 1,086 apiece on the NSE after the lender said that managing director Aditya Puri sold over 74 lakh shares, or 0.13 percent stake in the bank, as on July 24.

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With this sale, Puri now holds 3.76 lakh shares or a 0.01 percent stake in the bank. As of June 30, he held 0.14 percent stake or 7.8 million shares. Puri's tenure in the bank is set to end in October.

The value of the shares -- which were sold at a per-share price of Rs 1,135.95 --- works out to about Rs 843 crore at current value.

"These shares were allotted to Aditya Puri at different times and at different price points (not at par)," an HDFC Bank spokesperson said. "Therefore, the net amount realised by him is not as stated. The acquisition cost of shares and the tax payable on the transaction has to be accounted for."

The development comes as Puri’s term at the top of India’s largest private sector bank is all set to come to an end in October. Puri has been serving as the managing director and chief executive since the bank was established back in 1994. The bank’s board has already set up a committee to find a successor for Puri.

CNBC-TV18 had earlier reported that the board had shortlisted three names, two internal and one external. The internal candidates picked by the board were Shashidhar Jagdishan and Kaizad E Bharucha, and the sole external candidate was Sunil Garg of Citi.

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First Published:Jul 27, 2020 10:00 AM IST